The Small Business Start-Up Kit

Table of Contents......Page 10
1 Working for Yourself Is Easier Than You Think......Page 16
A. Get Started—And Get On With Your Business......Page 18
B. Making the Decision to Go Official......Page 19
C. Get Ready for the Ride......Page 20
2 Choosing a Legal Structure......Page 24
A. Sole Proprietorships......Page 25
B. Partnerships......Page 29
C. Limited Liability Companies (LLCs)......Page 35
D. Corporations......Page 38
E. Choosing the Best Structure for Your Business......Page 43
3 Picking Winning Business Names That Won’t Land You in Court......Page 46
A. An Overview of Trademark Law......Page 50
B. Trademark Issues Online......Page 56
C. Name Searches......Page 61
D. Choosing and Registering a Domain Name......Page 65
E. Trademark Registration......Page 68
F. Winning Names for Your Business, Products, and Services......Page 69
4 Choosing a Legal and Lucrative Business Location......Page 72
A. Picking the Right Spot......Page 73
B. Complying With Zoning Laws......Page 77
C. Commercial Leases......Page 81
5 Drafting an Effective Business Plan......Page 84
A. Different Purposes Require Different Plans......Page 85
B. Describing Your Business and Yourself......Page 86
C. Making Financial Projections......Page 91
D. Break-Even Analysis......Page 93
E. Profit/Loss Forecast......Page 102
G. Cash Flow Projection......Page 106
H. Putting It All Together......Page 110
6 Pricing, Bidding, and Billing Projects......Page 112
A. Pricing and Billing for Service Businesses......Page 113
B. Bidding and Creating Proposals......Page 117
C. Pricing for Businesses Selling Products......Page 120
7 Federal, State, and Local Start-Up Requirements......Page 122
A. Step 1: File Organizational Documents With Your State (Corporations, LLCs, and Limited Partnerships Only)......Page 125
B. Step 2: Obtain a Federal Employer Identification Number......Page 126
C. Step 3: Register Your Fictitious Business Name......Page 129
D. Step 4: Obtain a Local Tax Registration Certificate......Page 132
E. Step 5: Obtain a State Seller’s Permit......Page 133
F. Step 6: Obtain Specialized Licenses or Permits......Page 134
8 Risk Management and Insurance......Page 138
A. Who Might Sue or Be Sued......Page 139
B. Risk Management Strategies......Page 145
C. Insurance......Page 149
9 Paying Your Taxes......Page 156
A. Tax Basics......Page 157
B. Income Taxes for Sole Proprietors......Page 164
C. Income Taxes for Partnerships......Page 166
D. Income Taxes for LLCs......Page 168
E. Estimating and Paying Your Taxes Quarterly......Page 170
F. City and County Taxes......Page 173
G. Sales Taxes......Page 175
10 Laws, Taxes, and Other Issues for Home Businesses......Page 182
A. Zoning Restrictions......Page 184
B. The Home Business Tax Deduction......Page 185
C. Risks, Insurance, and the Home Business......Page 191
11 Entering Into Contracts and Agreements......Page 194
A. Contract Basics......Page 195
B. Using Standard Contracts......Page 200
C. How to Draft a Contract......Page 201
E. Electronic Contracts......Page 206
12 Bookkeeping, Accounting, and Financial Management......Page 212
A. Accounting Basics......Page 215
B. Cash vs. Accrual Accounting......Page 216
C. Step 1: Keeping Your Receipts......Page 218
D. Step 2: Setting Up and Posting to Ledgers......Page 221
E. Step 3: Creating Financial Reports......Page 226
13 Planning for Changes in Ownership......Page 234
A. When You Need a Written Agreement......Page 235
B. Buy-Sell Agreement Basics......Page 237
C. Limiting Ownership Transfers......Page 238
D. Forcing Buyouts......Page 239
E. Establishing the Price for Sales......Page 240
F. Implementing Buy-Sell Provisions......Page 242
G. Sample Buy-Sell Provisions......Page 243
14 Building Your Business and Hiring Workers......Page 252
A. Employees vs. Independent Contractors......Page 253
B. Special Hurdles for Employers .......Page 256
15 Getting Professional Help......Page 258
A. Working With Lawyers......Page 259
B. Working With Accountants and Others......Page 262
C. Internet Legal Research......Page 264
A. State Contact Information......Page 266
Small Business Start-Up Information......Page 268
State Tax Agencies......Page 273
State Sales Tax or Seller’s Permit Agencies......Page 278
LLC Offices......Page 283
State Unemployment Compensation Agencies......Page 289
B. How to Use the Forms CD-ROM......Page 294
C. Tear-Out Forms......Page 300
Partnership Agreement......Page 302
Application for Employer Identification Number (Form SS-4)......Page 304
Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding (Form SS-8)......Page 312
Election To Have a Tax Year Other Than a Required Tax Year (Form 8716)......Page 318
Entity Classification Election (Form 8832)......Page 320
Index......Page 326
Related Products......Page 344