How to Register a Business in the United States

Registering a business is one of the first and most important legal steps you can take as an entrepreneur. The exact laws you must abide by in order to register a business vary according to which state you live in, but these steps can help outline the process.

Instructions

1. Choose a business structure.

   In order to register a business, you need to have chosen one of the four categories of legal structures; a company, a LLP (Limited Liability Partnership), sole-proprietor, or a partnership. The business structure you chose will depend on your purpose, business intent, and liability factors.

2. Choose a business name.

   If you are going make your real name the company name, you don't need to register your business, however, "John Smith" does not tell a customer whether you sell carpet, cars, or life insurance. If you want to call your company "John Smith's Mortgage Co.", this is considered a fictitious business name and you will need to register it as such. You can choose a business name yourself, or hire a professional who can take care of the paperwork, check the availability of your business name, and cover the legalities.

3. Get a tax ID for your state's department of revenue.

   You must get your business registered with a tax identification number before you can make any profit from sales or services. Most states offer an online business registration that makes the whole process faster and more convenient-mailing the form in may take significantly longer.

Resources

• How to Advertise a Small Business for Cheap