Not everyone who goes into business is going to struggle and take months to start turning a profit. In fact, many people establish companies only after they have done endless amounts of market research, have drummed up interest from potential business partners, and know what the full potential of a new business will be. In other words, the hard part for these savvy future business owners is getting the paperwork done fast so that they can get to the part where they start making money.
So, is there a way to accelerate the process wherein a business is established? The answer is, absolutely.
Knowing What Kind of Business Entity Your Company Should Establish
The very fastest way to get a business up and running is to set up the least complicated type of company available. If you set up a sole proprietorship, which is simply doing business in your own name, or under a DBA, ‘doing business as’, you can generally get everything going without delay. Someone with a sole proprietorship can use their personal bank account to issue and receive business checks, use their personal credit to get funding, and even open a merchant account in their own name.
By contrast, an S corporation business license is going to take more time to fill out, double check for errors, and be approved. However, if you want to launch an S corporation, there are companies that can help do this. So, think about what specifically you want to do with your company and how important it is that you have a license versus setting up the entity that is best for your finances.
Setting Up Your New Business in the Proper State
Some states are simply more conducive to setting up a new business than others. Delaware and Wyoming have been long celebrated as two of the very best states to start a new company, mainly for state tax liability and easy of setup reasons. Delaware is considered the credit card capital of the U.S., as it is home to dozens of credit card and bank headquarters. Wyoming is deep out in the Midwest, and there are no state tax liabilities for business owners.
Setting up your business in the best state, depending on your needs as a company owner, is going to help you to get into business faster.
Working Online to Get Your Business License Application and Paperwork Submitted
In some cases, going in person to get your business license can result in you getting everything done in hours as opposed to weeks. You need to have the business license application fee, the application itself filled out in full, a copy of a valid identification, and perhaps proof of liability insurance.
What happens if you show up unprepared, or worse, you want to set up your business entity in a state far, far away? Well, in these cases you would likely be a lot better off by doing everything online. Digital forms are more convenient to fill out and submit, and remitting payment for a business license just necessitates you to have a bank account or credit card.
Apply for your business license electronically, using a payment method such as a credit card, and go with a professional company that helps businesses get setup fast. You will pay a bit extra for the convenience, but then again you can also legally operate a business faster. If you stand to make money by forming an official company, it makes sense to do it as quickly as you can.