Legal Requirements for Setting Up in Business
You have a new idea, service or product and you are excited to be applying your entrepreneurial skills to a new business. Starting a new business is inherently risky, demanding research, planning and commitment. Before you can open the doors, it is necessary to navigate through the maze of licenses, permits, taxes, rules and regulations that may govern your efforts.
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Organizational Structure
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One of the first decision a new business owner is required to make is deciding on how to set up the legal framework of the new entity. Consult your tax adviser or business lawyer to determine the appropriate organizational structure for your venture. You can find a referral to a lawyer by calling your State Bar Association. A CPA or tax adviser referral is available from the American Institute of Certified Public Accounts. Your adviser can review your assets, financial liabilities, potential tax consequences and projected growth and then recommend if you should be a sole proprietorship, a partnership or a corporation. Incorporation applications are available online at your State Corporation Commission or through reputable online firms that will process your application for a fee.
Federal Taxes
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A United States Federal Employment Identification Number or EIN is required for loan applications, opening a commercial bank account, state incorporation registrations and for withholding and deducting employee state and federal taxes. Visit IRS.gov to apply online.
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State and Local Taxes
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As a new business owner, it is your responsibility to determine which city, state or federal taxes apply to your new venture. Contact your state Department of Revenue to find which sales, usage, recreational, resort, tobacco and alcohol or motor fuel taxes affect your product sales. The Federation of Tax Administrators provides an interactive website to determine the taxes that apply to your enterprise.
County and Local Licenses and Permits
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Health permits, fire and building safety inspections will be required for any building or structure that is open to the public. It is necessary to research the building code and ensure that your plans satisfy the requirements. Contact each department of public safety to have your building, warehouse, offices or store inspected and approved.
Local and county offices will be able to determine which occupational and professional licenses are required for your new business.
Zoning
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Local zoning and city ordinances may affect the growth and development of your new business. Current laws may prevent expansion or remodeling of your property. Verify or research the zoning regulations and the types of zoning that are in place for your new business location. Determine if you can expand in the future and what other types of businesses are or can be your neighbors. Evaluate if you want these types of venues in proximity to your establishment. If not, choose a location that meets your present and future needs.
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References
Resources
- Photo Credit ordner image by Jörg Stumpf from Fotolia.com
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Setting up a business in Malta is a simple process but needs to be planned properly. Appropriate Malta law and tax advice can ensure you make the most of a Malta company tax refund system. Company formation in Malta is a quick process involving registration for tax purposes, obtaining a VAT registration number for your Malta company trading activities within the EU and appointing a local Malta company formation agent to provide Malta company domiciliation services. www.ccmalta.com/malta-company-formation/
