When thinking of opening a business, it is very important to address the licensing needs at the start up stage. Getting all necessary licenses required for your business is complicated and time consuming, and can thus delay your opening. Multiple governments and agencies have different requirements and it is best to start with a top down approach starting with the federal level, then the state, and finally the local. All these licenses and permits can be very expensive, but they are deductible business expenses. So, make sure to keep a copy of all licenses and receipts.
It is important to recognize all the activities that your business will undertake because you may need different permits for every activity.
At the federal level, a federal registration that is required for every corporation and LLC is a federal EIN (employer identification number). This is a nine-digit number assigned by the IRS to identify taxpayers who are required to file business tax returns.
Once you get to the state level, you can start by going on the website for each state where you plan to open your business. However, sometimes it might be difficult to find everything you need.
As for the city and county level, this poses the most challenges because they are far behind and you risk losing a lot of time.
If you want to avoid the headaches of going through many phone calls and online searches, you can work with a business compliance service, like CT, to help you with all the requirements for opening a business.
Please be aware that you can be fined if you open a business without all the necessary inspections and licenses. Be careful because these fines add up very quickly!
If you’re thinking of pursuing a new business endeavor, let EPGD Law help you on your legal journey. Email us info@epgdlaw.com or call us to schedule an appointment (786) 837-6787
