Checklist For Starting A Business
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Contact the nearest Small Business Development Center or the Zeeland Chamber of Commerce (616/772-2494) if you have additional questions about starting your business.
Determine your business’ legal structure. Contact an attorney, accountant or your nearest Small Business Development Center to determine the appropriate business structure. Register your business name. Contact the Michigan Department of Consumer & Industry Services, Corporation and Land Development Bureau, PO Box 30054, Lansing, MI 48909, telephone 517/241-6470, and the county clerk’s office in all counties in which your business will operate to determine if the name you wish to use is available. Register the name of sole proprietorships and general partnerships at the county clerk’s office. To obtain forms and to register the name of corporations and limited partnerships, contact the Corporation and Land Development Bureau. For information on Subchapter “S” Corporations, contact the Internal Revenue Service at 1/800-829-1040. Obtain any special licenses that may be required. Some occupations, professions and business activities require certification or licensing. Contact your local library, Chamber of Commerce, or the nearest Small Business Development Center to determine if any state licenses are required. Check with your county and city clerk to determine if any local licenses or registrations are required and to obtain the necessary forms. Arrange for a federal identification number (EIN) registration and payment of federal taxes. Now applying for an EIN has never been easier. You will need your EIN # even if you do not have any employees other than yourself. You use your EIN # to file your taxes for your business with the IRS. Estimated tax payments are required to be filed on a quarterly basis for all self-employed individuals for both income tax and self-employment tax. Contact the Internal Revenue Service / Business & Specialty Tax Line at 1/800-829-4933, Monday through Friday, 7:30am to 5:30pm. Obtain a state sales tax license if required. For registration information and answers to technical questions, contact the Department of Treasury, Registration Division, Treasury Building, Lansing, MI 48922. Register for the Michigan Single Business Tax. Contact the Department of Treasury, Registration Section, Treasury Building, Lansing, MI 48922, telephone: 517/636-4700 for registration information. Obtain information on state estimated tax requirements. All individuals with income from sources other than wages are required to make estimated tax payments on a quarterly basis. Contact the Department of Treasury, Treasury Building, Lansing, MI 48922, telephone: 517/373-3200 to obtain forms. Decide whether your business will hire employees. If your business will hire employees, you should be aware of several requirements for employers. A separate list of employers’ responsibilities is available. See “Information For Employers”. Note: Anyone who performs work for a corporation or receives some remuneration is considered an employee (including any “owners”). Ensure that your business will meet all air, water and solid waste discharge and disposal standards. To determine which environmental regulations apply to your business, contact the Department of Natural Resources, Permit Coordinator, PO Box 30028, Lansing, MI 48909. Be aware of hidden liabilities. As the purchaser of even a portion of a business, you may be held responsible for the previous owner’s liabilities, regardless of any contractual language to the contrary. Contact the Michigan Economic Development Corporation at 517/373-9808 for further information. Make sure the location you have chosen is zoned appropriately for the type of business, that you meet all state and local building codes and barrier free design rules, and that you have obtained a certificate of occupancy. Contact your local government authorities, including the building department for pertinent information. Some inspections and alterations may be required to meet state and/or city codes. If you will be operating your business out of your home, you should check with the city clerk’s office regarding a zoning variance. Arrange for utility service. Check with the utility companies to ensure prompt delivery of service and to obtain the cost of service extensions, the amount of any required deposits, and written price and supply agreements. Make sure the business is adequately insured. Contact an insurance agent to determine the types of insurance your business should purchase. Shop around. Insurance rates and types of coverage vary greatly among insurance carriers.
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