So what do you need to know when starting a business? A LOT! You have to be knowledgeable about a lot of things if you want a successful business. A business owner cannot just depend on capital and the knowledge and skills of other people. Every entrepreneur should be equipped with the information and the skills about the business, regardless if he or she hires the most intelligent managers and the most hardworking people in the company.
Here are some of the basic information that every business owner should be equipped with when starting a business.
Own the name
Just because your name is Walda doesn’t mean you have to name your business that—although Walda seems like a good business name. The point is, you have to intelligently choose a name that is easily remembered, appropriate for business and catchy. And once you have a name—or some names since backup alternatives are important—check out if that name is available for trademark and as an internet domain name. In this day and age where having an online presence is very important, it is essential that your business name will also be the internet domain name—it’s easier to access for customers and prospects.
IMPORTANT: Don’t forget to register your trade name.
Keep up with the legalities
There are so many legal steps that one needs to undertake when opening a business. There are federal applications that you need to accomplish, licenses to get, regulations to follow and taxes to pay. Here is a list of some of the permits and licenses a business owner needs to apply for based on the type of business he is operating. Know that ignorance of the law excuses no one. So you have to know the legal requirements of opening a business. If you happen to miss out on some legal issues, the reputation of the business will suffer. We don’t want the customers—or prospective customers—to think that we don’t care about the law.
IMPORTANT: If you are starting a corporation or partnership, don’t forget to apply for an Employer Identification Number.
Separate business and personal accounts
One of the most common ways to financially destroy the business is by integrating business and personal accounts. This will make it convenient for you to use up business money for personal interests. This will never work—even if you have to list down all business and personal expenses. So when you are starting a business, immediately open a bank account for that business.
Get professional help
While this article started with the importance of knowing a lot of things, especially as a business owner, it doesn’t necessarily mean that you can know everything. Accept that no matter how smart you are, there will always be things that you have no idea about. Don’t be afraid to seek professional help. A lawyer is always handy, so is an accountant. These are very important professionals to help you manage the business to make sure it is legally sound and financially robust. And when tax season comes, a tax expert can always give great counsel.