Business Entity: State Registration
Now,
This can differ depending on each state, whether or not your business is providing goods or a service to consumers, the business entity type (corporation, LLC, sole proprietor), and whether or not there are employees.
Lets say in this instance the business is registering in the state of California, commerce-digital based, and providing goods within the hair industry. First you must visit the state website here: https://www.sos.ca.gov/business-programs/business-entities/
Just as the trademark requires, you must search your name availability within the state of California's database site. You must decide if you would like to file your business as a sole proprietor (sole business owner, s-corp: singular corporation (sole owner), or as an LLC. Depending on the chosen business entity filing, fees can range from $0 per form filed, upwards of $200. Once proper forms are filed and fees paid, a statement of information must be filed especially if registering as an LLC or corporation. Several small business owners now choose to file as an s-corporation as it allows them to avoid double taxation and have a bit more room of added business protection and tax write offs. When filing within your state make sure you protect your business by purchasing general insurance which will protect you financially in any litigation, etc.
While you are allowed to file your business yourself, it is often best and first choice for business owners to use a registered agent that acts as first touch for any legal paperwork, and their business address steps in for all public documentation instead of having to have your personal home address published on all public state documentations attached to your business.
Common forms that must be completed in filing when registering:
This can differ depending on each state, whether or not your business is providing goods or a service to consumers, the business entity type (corporation, LLC, sole proprietor), and whether or not there are employees.
Lets say in this instance the business is registering in the state of California, commerce-digital based, and providing goods within the hair industry. First you must visit the state website here: https://www.sos.ca.gov/business-programs/business-entities/
Just as the trademark requires, you must search your name availability within the state of California's database site. You must decide if you would like to file your business as a sole proprietor (sole business owner, s-corp: singular corporation (sole owner), or as an LLC. Depending on the chosen business entity filing, fees can range from $0 per form filed, upwards of $200. Once proper forms are filed and fees paid, a statement of information must be filed especially if registering as an LLC or corporation. Several small business owners now choose to file as an s-corporation as it allows them to avoid double taxation and have a bit more room of added business protection and tax write offs. When filing within your state make sure you protect your business by purchasing general insurance which will protect you financially in any litigation, etc.
While you are allowed to file your business yourself, it is often best and first choice for business owners to use a registered agent that acts as first touch for any legal paperwork, and their business address steps in for all public documentation instead of having to have your personal home address published on all public state documentations attached to your business.
Common forms that must be completed in filing when registering:
- Articles of Organization (Form LLC–1)
- Certificate of Amendment (Form LLC–2)
- Statement of Information: Due within 90 days of initial registration and every two years thereafter.
Be prepared financially, as some states require certain taxes be paid upfront for the year. Currently, the state of California outside of registration fees has a tax of roughly $800 paid once a year.
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