How to get your Online Business Registered in USA

eCommerce

How to get your Online Business Registered in USA

Starting an online business is not all about selling products and services. Many factors chip in to successfully launch and run the business. However, many new entrepreneurs get confused regarding the legal aspects of the business. Each country has its own rules for legalizing business. Let’s take a look at a step-by-step guide on how you can register an online business.

  • Choose a Business Structure

The registration of your business depends on the type of your business. If you are starting your business alone, you can go for a sole proprietorship. However, if you have one or more than one partner, you need to sign a partnership agreement.

On the other hand, non-profit corporation and fully Independent Corporation has different means of the registration process.

  • Register your Business

The next step after finalizing the business structure is to filing out the paperwork. The whole registration process consists of these steps.

  1. Register your DBA

DBA- Doing Business Name is referred to as your company’s name. You can either choose one name or a different name for registering your company.

If you are forming a partnership, you will need to register your business as a legal entity in your state.

  1. Register your EIN

You can register your business with the tax authority with EIN- Employer ID Number. EIN is important while getting your permits and legalizing your business.

  1. Get your permits

Each business needs a license to operate it. However, each state and country have their own different sets of rule. You can contact your local small business association to guide you through the permit process.

  • Get the EIN for your Business

EIN works like a social security number for your business. You can easily get your EIN online with the help of the IRS. However, make sure that your business really needs the EIN. For example, if you are the only person handling your business, you do not need to get it done.

A big corporation that hires employees, estates, non-profit corporations, and trusts must get the EIN. You can get all of the details by visiting IRS’s official website

  • Open Business Bank Account

Keeping your business funds separate from personal ones is essential. Keeping a separate business account has many benefits, such as,

  1. You can easily track all of your expenses, incomes, taxes, etc.
  2. It reduces the risk of getting into legal trouble.
  3. It clarifies to the IRS that your business is legal. Thus, if anything happens, you can easily dodge the audit and reduce the risk of getting fined.
  • Trademark and Copyright Registration

Trademark and copyright are both very important aspects of the business. However, they are all a bit different than each other, thus it is important to know about them before registration.

Trademark is the phrase that shows the difference between businesses. Copyright protects all the original content from getting copied or stolen.

To register your trademarks, you need to file the correct application. TEAS PLUS, TEAS RF, and TEAS Regular are three applications you can file according to your requirements. Registration of the trademark costs in-between $250-$400.

On the other hand, copyrighting protects the original work. If you have registered your product, and somebody else decides to infringe your work, you can take legal action against them. If you have a small business of your own creation, it is advisable to register the copyright for your product.

  • Legalization

The final step of registering your business is making it legal. Legalizing your business will help you avoid many potential failures, or even if you face any trouble, you can save your business.

Use the right name and business structure. Also, do not forget to get insurance to cover up unwanted charges. Finally, always check the employment contract and keep your financial and business record organize.

The most important thing about legalizing is studying every aspect of your business thoroughly and double-checking each data. A miss-spelled name or any miscalculation can cause you a big trouble in the time of the crisis.

Well, starting your online business is not an easy walk. But, with proper guidance and planning, you can make the best out of it. Although registering your business process may seem long and boring, it will help you stay on the right path and help you pick up yourself if there are any fallouts. Don’t let a few hurdles stop you from achieving your dreams. Keep your pace steady and win your eCommerce race.

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