Small Biz Tip: Start Up Concerns: Legal Issues

Tips from November 4, 2009

The Small Business tips today discuss legal concerns for start up businesses.

  1. Sole proprietors should incorporate their home-based businesses with tax benefits and protect personal assets from business liabilities.
  2. You can use your own name as your business name in most states without having to register it. Everything else needs some type of registration.
  3. Minimize disputes with clients by having thorough contracts, detailed wording with no room for excuses, multiple signatures, and clarity from both parties.
  4. General rule of thumb: a business that sells goods, needs a business license; a business that offers professional services (regulated by the state) needs a business certificate.

Daily Overview: All business legal concerns should be taken to a lawyer who knows the laws in your state, specific to your situation.