November 28, 2018
Have you decided on an idea for your new business that you are setting up from home? Once you have done your research and have your business plan ready to go, it is time to started building your dream business! However, for most of us, we have no idea where to start when it comes to starting your own business from home but there is no need to fret as we are here to take you through the important steps you need to know when setting up a home based business. Carry on reading to find out more about what these are.
What Is Your Business Structure?
The first step to setting up your own home based business is deciding on what your business structure will be. For example, this could be Sole Proprietor, Limited Liability Company or Corporation to name a few. We would recommend meeting with a lawyer and an accountant to help you decide which one to choose and what will be best for you as each has their own pros and cons.
Get Your Employee Identification Number
If you are going to be setting up a business bank account, then you will need to apply for an employee identification number, however, this does not apply if you are starting a business under Sole Proprietor. It is free to apply for this and the process is really easy.
Register Your Business Name
If you are going to be naming your business something other than your own name, then you will need to make sure that you register it. You may find with your research that coming up with a good business name is quite difficult as many names will already be taken. This requires a little bit of paperwork but it is not difficult to do.
Setting Up Your Home Office
When you are setting up a home based business, you will want to make sure that just like your accounts, you keep your business and your personal life separate. If it is going to just be you in the business for now, you can set up an office in a spare room in your home, fitted with a computer, printer, scanner and anything else that you may need. However, if you are hiring staff or are planning to expand in the future, you may want to look into getting a steel building to work from. Armstrong Steel are one of the industry’s key leaders (having been listed on the Inc 500) so would be an ideal choice if you’re looking to have one installed. These can be erected in your grounds within a day or two and can be transformed into a great office or you can use them as storage space for any items that you may be selling.
Setting Up Your Business Accounts
It is important that you keep your business finances separate from your personal finances and that this is done in an organised way. For many business structures, this is a necessity and you will want to be on the look out for a bank that is not going to charge you a lot in service fees. You will also need to look into third party payment processing accounts if you are going to be accepting credit cards as payment.