by Dr. Anderson

Created on: March 06, 2007   Last Updated: April 13, 2007

Anyone can decide to be in business. Really.

Being SUCCESSFUL is another matter and will certainly depend on the planning, preparation and adopted strategies of that business.

Strictly speaking, anything that adds to your success in life is "your business", but in the context applied here, we are discussing the trade and exchange of goods and services in a predominantly commercial market.

To achieve this goal, we must first discuss the simple, bare basics of how to set up a business from the legal standpoint. While this was once a simple matter of getting a city permit or some such nonsense, it has become a major undertaking to understand the complex landscape of overlapping municipal, county, state and federal regulations.

The first step is to determine the business structure to be employed by the new business. Future business owners should be familiar with every option from LLC to corporation, LLP to LP, sole proprietor to general partnership, private partnership to business trust, independent contractor to trust, foundation to charity, and beyond.

The second step will involve deciding on jurisdiction of establishment. Offshore/foreign businesses will need to decide on a company of operation and will need to comply with a slew of filing and registration laws for importing and exporting depending on the country chosen. "On shore" establishment will involve choosing from a variety of option includging state, federal, and tribal zones. This decision may be determined by the rights of the business owners as to whether tribal zones are a viable option.

These steps and the nature of the business will determine the need for federal taxpayer identification numbers that are distinct from the social security numbers of the individual (share) holders.

The need to comply with individual state laws will also be determined by jurisdiction. Regulated professions often require state licenses from special bureaus regulating certain activities. Application forms and waiting periods are often in order as are fingerprinting and background checks for some professional fields.

Some state regulation is enforced on more local levels by county agencies as in the case of food services, whereupon it is common for county or parish bureaucrats to make food facility inspections.

Local city regulations often exist to allow or disallow certain activities. Door to door solicitors, mobile ice cream cart vendors and the like are often subject to strict regulation or outright bans. Sometimes special permits can be issued for such activities, and sometimes such permits are subject to the whims of bureaucrats and politicians.

A review of all such regulations is always in order. Contacting clerks of local municipalities and counties is wise, but not always fruitful. Locating online resources for specific regulatory codes is important. Secretary of State websites in America provide this information. Local governments are more sporadic in providing this information, but should be consulted directly at the government center if this information is not otherwise online.

Applications for federal taxpayer identification numbers, state resale permits, fictitious business name statements, city business license, and state corporate filings are all considerations for the emerging businessperson(s).

The decision as to business structure will define the decision to

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