If you’re a new entrepreneur, making sure your business complies with all local, state, and federal regulations is an important task.
Some legal issues require immediate attention and you want to resolve those issues as soon as possible. to help, Council of young entrepreneurs Members immediately share 10 essential tasks when starting a business.
When you first start your business, it’s important to get all the legal issues sorted out as soon as possible. In your experience, what is one legal assumption that new entrepreneurs should make sure they have right away and why?
1. Set up a company mailing address
Setting up a company mailing address is especially important if you are a remote business and do not have a physical location. This address will be used on all your email correspondence, legal documents, and more. You can arrange this through a registered agent or a company that hosts business mailboxes. Note that you may not be able to use a post office box and need a physical mailing address to receive some government forms. -Nathalie Lussier, AccessAlly
2. Check the existing trademarks
One legal issue to consider when starting a business is trademark issues. When creating your brand or developing a product, always make sure someone has trademarked the name. If they have, you need to go back to the drawing board. The last thing you want to do is violate a registered trademark and end up in legal trouble before you can get your business off the ground. -John Brackett, Smash Balloon LLC
3. Find an experienced lawyer
Find a good attorney who understands corporate law, finance, and mergers and acquisitions. It’s impossible to know what legal issues you’ll face in the future with a union, but good lawyers know what lies ahead, even if you don’t. A good law firm can improve existing documents and help with negotiations. Finding a good lawyer who understands how to structure legal matters is important. – Sean Adler, GZI
4. Set up the business as an LLC or corporation
When first starting out, one of the most important legal issues to deal with is setting up the business as a limited liability company (LLC) or corporation. This is because every other business opening process requires the legal name of the business. This is what makes it possible to obtain a federal tax ID, which is required for key financial items such as bank accounts and insurance policies. – Richard Fong, Reliable Tech
5. Put financial agreements in writing
Always put financial agreements in writing. Money can easily destroy friendships and relationships, and you don’t want any misunderstandings to arise in the future. The agreement should include the nature of the investment. This is a serious statement of your commitment to your business and your desire to make money from it. – Bryce Wecker, Crushing the GRE Exam
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6. Notify your company legally if necessary
Before starting your business, the first thing you need to do is decide whether you need to legally promote your company. Some cities and states require business owners to publicly announce that they have formed a company before they can be certified. Failure to follow this step can result in significant fines, confusion and legal issues. – John Turner, SeedProd LLC
7. Understand the estimated tax payment
Talk to your CPA about estimated tax fees, especially if you offer professional services. It would be unfortunate if you lost your license because of back taxes. In the early years of your career, you don’t want to underestimate your contributions to the IRS or find yourself in a financial bind. A quarterly estimated tax payment is ideal. -Givell Lamano, Lamano Law Office
8. Make sure you follow the correct payment rules
Make sure you comply with payment issues. There are many rules that govern how you receive payments from your customers. This is especially important if you work with clients who live in other countries, as you need to consider exchange rates and taxes. By working with a legal professional, you can make sure your business is following all the right laws. – Syed Balki, WPstarter
About the author
Young Entrepreneur Council (YEC) It is an invitation-only organization of the world’s most successful young entrepreneurs.