Missouri has the 5th lowest corporate tax rate in the country, making it an excellent choice for entrepreneurs and new business owners. If you want to start a business in Missouri, here is our step-by-step guide to getting you on track for a successful business.
Most steps into starting a business can be carried out online these days; for example, you can apply online for your FEIN in Missouri or register your business name online.
#1: Plan Your Business
A successful business requires careful planning. Before committing significant money or resources to your business, you must critically analyze your idea and create a game plan. To begin with, you will want to name your business, and when you do, you will want to choose an available name that follows Missouri’s naming rules for an LLC or corporation.
#2: Choose a Business Structure
Registering your company as a legal business entity has two significant advantages – increased credibility and protection from personal liability if your business is sued. Do research what type of business structure you need – a limited liability company (LLC), corporation, sole proprietorship, partnership, or non-profit.
#3: Register your business
Once you have chosen your business structure, the next step is forming your business. To do this, you must name your business, choose a registered agent, get an Employer Identification Number, and file all the formation documents. In addition, each business structure has its own requirements unique to that particular structure.
#4: Set up Business Banking, Credit Cards, and Accounting
Using dedicated business accounts is essential for personal asset protection. When you mix personal and business accounts, you put your personal assets, such as your home, car, and other valuables, at risk in case your business is sued.
#5: Get Funding
We all know you need funding to start a business, but you must do some legwork before securing the money to cover start-up costs. First, you need to calculate your business costs before you can seek outside funding, as this will help you choose the right source for your business needs.
#6: Get Insurance
Business insurance will help you manage risks and focus on growing your business without worrying. You should look at general liability insurance, workers’ compensation, and professional liability insurance.
#7: Obtain Permits and Licenses
To operate a business legally, you must comply with federal, state, and local government regulations. This means obtaining one or more business permits and/or licenses in most cases. For example, a restaurant will need a health permit, building permit, signage permits, etc.
#8: Hire Employees
Building a solid team is essential in breeding success for any business. This is not just about finding the right people; you also need to ensure that you comply with the requirements for hiring employees legally.