With today’s culture, many people are looking to venture out and create their own businesses. Whether it is a lifelong dream, a hobby to bring to life, or a passion to share with the community, creating a business takes an idea, determination, and knowledge.
“I want to open a ‘mom and pop’ Italian restaurant with my mother’s recipes. How many other Italian restaurants are in the local area, and what can I do to make my restaurant stand out over the competition?”
- Know your market. Conducting the necessary research will inform you what customers need and if other similar businesses are in the area. This proper research could give you the edge on the competition.
“Between the menu, the atmosphere, the employees, and the ambiance, I want my customers to feel like they are in Italy and enjoying the best Italian food. I also want it to be profitable and safe.”
- Create a business plan and structure. You will need to convince others what your business is about and that they will want to invest in you and your business. This will help you establish and grow your business. This will also help you determine you how much you pay in taxes and your personal liability.
“I have my plan now, but I need to determine if I invest my own money or take out a business loan for the restaurant?”
- Fund your business. With a proper business plan, you will be able to determine if you need to raise or borrow the funds.
“I have a dream location in town with a rustic, exposed-brick exterior, with a tree-covered patio for lighted outdoor-seating where I can display Italian statues, and build a wine cellar.”
- Select the location of your business. Whether you decide on an online portal or a physical location, this decision will affect your revenue, taxes, and legal requirements.
“My mother’s name is going to be incorporated into the name, her kitchen is my inspiration.”
- Choose a business name. Choose a name that reflects your brand and the spirit of the business. Once you settle on a name, make sure that someone else hasn’t chosen the name already.
“I will go to the Florida Division of Corporations website to register the business and pay the registration fees.”
- Register the business. Now it is time to protect the name and your brand by registering it with the Federal government. Some places require you to register it with the state as well.
“I will need to go to the IRS website to apply for the Federal Tax ID for my business. Since the business will be in Florida and there is no state tax, I will not need to get a State ID.”
- Establish the Federal and/or State Tax ID’s. Obtaining the employer identification number (EIN) is a big step in establishing a tax identification to create and grow your business.
“I will need to visit the Federal, State, and County websites to apply for the proper permits for my business. For a local restaurant, I will need to register with the Florida Department of Business and Professional Regulations’ Division of Hotels and Restaurants first.”
- Apply for licenses and permits. This step will help you stay current and legally compliant. The type of permit or license will depend on the business and product.
“I need to establish a checking account, a savings account, a credit card account, and a merchant service account. I will start with my personal bank for the best rates, fees, and options.”
- Open a bank account. Using a small business banking account will help you stay current with legal financial rules, taxes, and cover your daily needs.
Always check with an accountant or an attorney if you are unsure about any of these steps. Remember, we are always here for you for any of your business formation legal questions and needs.