How to Get an Auto Repossession Business License in Ohio

Auto repossession businesses are most successful in a struggling economy.

While it is not necessary in the state of Ohio to obtain a professional license or permit in order to repossess automobiles, you still will need to register your auto repossession business with the state. Any person or group of individuals doing business within the State of Ohio by selling goods or providing services must have a business entity registration. This is to protect your rights as a business owner and to make sure businesses pay the appropriate taxes.

Things You'll Need

• A name for your new business
• Business registration form, obtainable from the Ohio Secretary of State (can be dowloaded from the State's official web site)
• Employer Identification Number (EIN)

Instructions

Register Your Ohio Auto Repossession Business

1. Decide on a name for your Ohio automobile repo business and make sure that another business isn't already using that name by utilizing the state's Business Name Availability Search (see the Resources link below). Your business name must be distinguishable from all other businesses already registered.

2. Determine what business entity you want to use for your auto repossession service. The most common types are sole proprietorship, corporation, partnership and limited liability company. Each has advantages and disadvantages, depending upon your needs and desires for your company. Refer to the Resources link for more information on choosing a business entity.

3. Visit the Internal Revenue Service web site (see Resources) and obtain an Employer Identification Number (EIN). Even if you have no employees, having an EIN is important for registration filings, city business licenses, opening business checking accounts and filing business taxes.

4. Download the appropriate registration form from the Ohio Secretary of State web site (see Resources). Which form you use will depend upon the entity you choose for your auto repossession business. Information on registration fees and mailing addresses for submission are also available on the forms.

Tips & Warnings

• As an auto repossession business, you do not offer services that are subject to sales and use tax; therefore, you do not need to obtain a tax license from the State of Ohio.

References

• Ohio Business Gateway: Starting a Business
• Ohio Department of Taxation: Sales and Use Tax
• Ohio Business Gateway: Licenses and Permits

Resources

• Ohio Secretary of State: Business Name Availability Search
• Small Business Buzz: Which Business Entity is Right for You?
• IRS: Employer ID Numbers
• Ohio Secretary of State: Business Registration Forms and Fee Schedule