Your business must be registered to operate legally and be identified in the market. In this way, you will obtain legal certainty and brand protection.
If you are in Indiana, you can register your business by following simple steps. Here we tell you what they are.
When you complete the process, you will obtain mandatory rights and duties such as executing transparent and accountable work.
If you are in Indiana and need to register a business, the best thing to do is pay some attention to this new article. You will find here the answer you are looking for.
How to start a business in the state of Indiana?
Follow these steps to set up a profitable and productive business in Indiana:
Step 1: Choose your business idea
The first thing to consider is the business idea you want to develop. Many times you have a vague outline of what you want to do. Little by little, you will be advancing in the project.
But if you still have nothing in mind, the best thing to do is brainstorm and look for useful information about market possibilities.
During this process, it is important to know useful information about the industry, market trends, initial costs, and others.
Step 2: Write down what kind of business you want to develop
There are several reasons why you should write down the idea you have for your business. One of them is because the bank needs details for financing approval.
It is also important because it helps define where you want to go with your venture.
Step 3: Choose the right business entity
There are several options available. Each has particularities, so you can choose the one that best suits your needs and requirements. These are:
- General partnerships are formed by two or more people who wish to develop a business together. This type of corporation is characterized by having unlimited liability.
- Corporation: Forming a corporation is much more complex and costly than a sole proprietorship. A corporation is characterized by protecting the assets of its owners.
- Limited Liability: This is one of the most commonly used business options. The reason is that it is much easier to incorporate and generates more benefits for the owners. One of the most important advantages is tax flexibility.
Step 4: Register the business name
It is important to legally protect the name of the company you want to incorporate.
You must go to the registrar’s office and comply with the specific procedures. We will talk about this in detail later on.
Step 5: Obtain your own EIN
Obtaining an Employer Identification Number (EIN) is an indispensable step. It is a 9-digit code that identifies your business from the rest of the U.S.
The IEN is essential for any business, such as corporations, partnerships, sole proprietorships, and LLCs.
Step 6: Set up your commercial bank account
One of the requirements for forming a business in Indiana is to open a commercial bank account. You will get financial products such as separate cards that will make tracking transactions easier.
The general requirements for opening a bank account for your business are as follows:
- Corporation: Articles of Incorporation, incorporation products, driver’s license, IEN, and certificate of recommendation.
- Partnership and Sole Proprietorship: EIN or SSN, business name certificate, and driver’s license of the account holder.
- LLC: Operating agreement, certificate of good standing, account holder’s driver’s license, EIN, and organizational products.
Step 7: Apply for permits and licenses
For proper and legal operation in Indiana, start-up businesses require permits and licenses.
Some of the most important are the retailer’s certificate, business character licenses, and professional licenses.
Step 8: Find the best financing
Today there are different sources of financing for a start-up business in Indiana. There are grants, traditional bank loans, investors, and more.
Choose the option that best suits your needs and requirements. But you should know that any of them involves a fairly complex process, which you will surely overcome.
Step 9: Look for workers
Look for options in the best employment agencies. Relying on these companies will facilitate the process. But you must take into consideration employment laws before hiring.
Other elements of important consideration are verification of the legal status of the people who will be working, taxes and unemployment insurance, payroll taxes, and more.
Step 10: Commercial Insurance
Obtaining business insurance can be a tedious business. But it is also indispensable to keep your business protected from unforeseen events.
You can purchase one if you want, as it is not mandatory. If you don’t get it and some unfortunate situation occurs, such as theft or fire, the owner will have to bear the related expenses out of their pocket.
Step 11: Run an accounting system
Do you want to achieve greater success in the medium or long term? Then you should develop an effective accounting system.
You can better manage credits, debits, financing, and more. It is best to hire accounting software to optimize the process.
What to do for the successful registration of a company in Indiana?
There are several ways to carry out the registration of a business in Indiana.
1. Sole Proprietorship and General Partnership
In cases of doing business in your name as a sole proprietorship and general partnership, no filing is required.
However, if the company operates under a fictitious business name or trade name, a Doing Business As Registration (DBA) must be filed.
This document must be filed with the registrar’s office in the county where the business operates.
2. For corporations or LLCs
It is necessary to choose a unique name to carry out the registration. Then you will have to execute the procedure following the parameters of the governing body.
Why is it important to register your business?
Your business could be one of the most important assets you can have. Therefore, it is important to carry out the registration stage.
It allows you to distinguish a company’s products or services. It will also let you recognize them for their effectiveness. In this way, you will gain the respect and trust of consumers.
Timely registration will prevent other organizations from using your products or services as their own. This action gives the trademark owner the right to exclusive use.