Colorado is full of many people who possess great idea's for starting a small business. Unfortunately, they enter the market place full of enthusiasm for their product or service, but fail to recognize that there are federal, state and local laws, rules and regulations that they must follow.
How do they rectify this situation? They can do the research themselves and perhaps be almost 100% compliant or they can hire a trusted professional to guide them through the process of setting up a business.
Understanding what form of business entity to choose is the first critical step in the process, a misstep this early on could lead to many unexpected legal and tax consequences.
Identifying any licensing requirements that apply to where you are doing business is also necessary before you open the proverbial "doors" to your business. Along with licensing there are reporting requirements that vary based on the city and county in which your business operates.
Will you have employees? If so you will have federal and state workman's compensation laws and reporting requirements along with federal, state and local tax withholding and reporting.
Are you paying outside vendors for services? There are reporting requirements for any payment of outside services in excess of certain dollar amounts on an annual basis.
Do you know what expenses are deductible for your business?
Owning and operating a business can be very rewarding if you hire a trusted professional to assist you in complying with the countless and often complex rules that govern business.
Planning is the key, most businesses do not plan to fail, they fail to plan.