Starting the Process

• Before you can register a new business entity in your state, you must first select a distinguishable trade name for the business. When selecting a business name, do not include Internet domain names or corporate designations such as ".com." Original names can be used, but state law requires you to include the nature of the venture with the business name you've chosen. You can research the availability of your business name online using a "registered name information search," or a variation thereof, at your state's secretary of state website (see Resources).
  
  

Tax Benefits

• One of the benefits of operating a new business is that the business is subject to specific tax deductions based on the industry and sector in which it operates. You must apply for an Employer Identification Number and complete a Joint Tax Application before starting your business (see Resources). It is illegal for any business to ignore its annual tax obligation regardless of its staff size.
  
  

Licensing Requirements

• A business cannot operate without licensure. As with your registration application, fees apply. However, all fees vary by license and industry. Apply early so unexpected delays in processing times do not impede your ability to operate your new business on time. Failure to obtain correct licensing may result in hefty fines and penalties, as well as the closure of your new business.
  
  

Fees

• Each state's secretary of state office processes all new business registration applications. While processing fees vary from state to state, all payments are made directly to the secretary of state where your business will operate. As a general rule, check and money orders are accepted, whereas cash is not. Contact the secretary of state office for a list of filing fees. Mail your payment with your application.
  
  

Warning

• To register a new business, you must complete a registration application in black or blue ink; pencil is not permitted in any state. You can also type your answers. Because an incomplete or incorrect application can result in delays, double-check your application before submitting it for review. All designations must be spelled correctly, so check for spelling errors throughout.