YOU’RE IN BUSINESS – MAKING IT OFFICIAL

December 2018
© Company Reimagined

So you’ve established your small business.

Now what?

There’s a lot of celebrating to be done after all of your accomplishments thus far, but there’s a lot of technical details to address at the finish line of your long trek to establish a small business or startup. From patents to trademarks to bank accounts, there’s much to do to make it official in the eyes of state and federal government, as well as the business and investment community.

Where to begin? What do you need to do to ensure you’ve crossed everything off your list to launch your small business and introduce your brand to the world?

First, register your business with the state you live in, as a corporation, LLC, sole proprietorship, etc. Once you register your business, you’ll get liability protection. And, if you trademark your business name, you’ll protect your business from others who may try to snag the same business name. After trademarking your business name, your business will have the strongest level of protections provided from the government and it will certify it as a recognized business in your state. There are typically expenses tied to registering for these designations and protections and there may be annual fees to renew the registrations. You will also need to register for state and federal tax ID numbers (EIN), to officiate the launch of your business. As of late 2018, there wasn’t a cost for filing for an EIN, and it’s a simple application process. Don’t fall for the online service providers charging as much as $500 “to help you” do what you can do in less than a half hour.

In addition, you must apply for any appropriate licenses and permits related to your business or industry to cover all your bases when it comes to playing by the rules. Sound like a lot to start off with? It gets easier from here.

Make sure that you set up a business bank account for your company to manage all your company’s revenue in one place. You’ll need to bring your identification, your business license, any legal incorporation documents you have, and your tax identification number to open your business’s account with a bank. There’s typically little to no fees associated with opening this type of account, but be prepared just in case there’s a small fee, typically no more than $50. You may be required to have a minimum balance when you open the business banking account.

If you have specific products or technology associated with your business that you’re creating, or hope to create, you’ll want to apply for a patent. To do this, you’ll first want to make sure that a patent for your invention doesn’t already exist, that your invention qualifies for a patent at all, and be sure that you’ve documented your process of creating and inventing the product in very detailed language, so that it’s easy to prove you really are the sole owner and creator of your invention. Some startups hire an attorney or subject matter expert to help them with guidance and vetting through this process, and it may be well worth it. There’s also a significant time and financial investment that comes with pursuing a patent, but that shouldn’t hold up your show. You can establish and continue operating your business while concurrently pursuing your patent or determining if you should have one.

Want to make sure no one else steals your business name after you’ve launched? Of course you do! You’ll want to be sure to trademark your small business’ name with the U.S .Patent and Trademark Office (USPTO), the same office you seek patents at. This will cost you a fee that ranges between $100 – $400, depending on your business, but it provides you with many advantages that protect your business from others, like competitors, trying to take your intellectual property. Within six months of filling your business’ name with the USPTO, you should receive a response.