Wanting to start a business and being ready to start one are two different milestones. If opening a business is something you plan to do, there are certain things you need to have in place before you actually get your business up and running.
Choose business structure
You must select your business structure to start your company. Your chosen structure will impact your taxes, personal liability and paperwork filing requirements.
There are several common types of business structures you can consider. The structure that works best for you depends on a variety of factors that are unique to your situation, so seeking legal guidance and input can help you examine your options.
Prepare governing documents
Governing documents for your business can provide critical guidance and establish the framework that facilitates the operation of your company. Having these in place before you open your business can minimize complications and legal disputes that might arise.
Some documents you may want to have include:
- Business plan
- Operating agreements
- Articles of incorporation
- Confidentiality and non-disclosure agreements
- Employment contracts and handbooks
- Business ethics policy
- Partnership agreements
Having this paperwork prepared and in place from the beginning provides a valuable foundation for new businesses.
If you want to ensure these documents are valid and enforceable, it can be wise to have a legal representative help you create them.
Protect the business’s identity
Your business will have an identity that you will need to create and protect. To do this, you will need to:
- Choose and register your business’s name
- Set up the appropriate bank accounts
- Get your tax IDs in place
Further, properly securing intellectual property rights (copyrights, trademarks, etc.) with legal guidance can be crucial. Having to change things like your business’s name, logo or product packaging because they infringe on another company’s intellectual property rights can be expensive and disruptive.
When you have these tasks in order, you can be well prepared to open your doors.