Walter Devins, Attorney
Startup companies often disregard the importance of properly registering their company. The registration process can be easily overlooked because many of the issues arising from lack of proper registration will usually affect a company at a later point in time. Instead, founders often focus much of their time and energy into what may seem like more important matters, such as getting funding.
The registration process is important to complete because it forces one to consider many critical questions that should serve as a foundation to any business plan. Before filing for registration and permits, some considerations include, picking a name for your business, picking a business structure, and obtaining a federal tax ID.
When choosing a name for your business, it is vital to choose a name that is not already being used by another company. There are a few methods of verifying whether a company name is already in use or not, such as a simple Google search, but it is difficult to know with 100% certainty that there are no conflicts without hiring a third party search firm.
Deciding on a business organizational structure can be a daunting task for anyone interested in starting a company. There are many different ways to structure a business, such as, a partnership, limited liability company, or corporation, to name a few, Each type of business has it’s benefits and drawbacks. It is recommended that an advisor assist with identifying the most appropriate structure. Choosing the best fitting organizational structure can prove beneficial in providing a better approach to managing a business.
Harrison & Devins, PA