Starting a Business

Guide to Starting a Small Business

Many people get the idea of starting a business into their system, but really don't know where to start. Some can't come up with a solid business idea. Others don't know where to get small business financing. Some don't know which business structure (or legal business form) would best suit their needs. Fortunately, there are a lot of great resources available to help with all aspects of starting a small business, including right here on Squidoo. Below are some steps for starting a small business, and related lenses or outside resources that will help you reach your small business startup goals.

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Steps to Starting a Small Business

Visit the lenses attached to each of the small business startup steps below for additional information on starting your own small business, including great startup books, Web resources, and more.

Step 1: The Business Idea: The small business idea isn't always an easy step. My small business ideas lens will give you a few important tips to keep in mind, as well as some books filled with business ideas, and websites to inspire you.
Step 2: Small Business Structures: When you start a small business, you have to choose the most appropriate business structure (or legal business form) for your needs. The IRS offers one of the best, and most trustworthy, resources on the Web to help you compare business structures for your small business. You'll also learn specifically about the tax implications of each.
Step 3: The Business Plan: Bplans.com (from the makers of Business Plan Pro) offers a comprehensive business plan outline, as well as what seems to be the largest collection of free sample business plans on the Web. Your business plan should include a variety of information, including income projections, a competitive analysis, identification of your target market, the location choice for your business, etc.
Step 4: Small Business Financing: This is the "Finance Startup" section of the Small Business Administration's Small Business Planner. This resource will teach potential small business owners how to estimate startup costs, apply for small business loans and financing, how to complete a breakeven analysis, and more.
Step 5: Register Your Small Business: After you've gone through the planning phases for starting your small business, and have secured your business financing, you need to worry about registering your business with your state, getting a Federal EIN (Employer Identification Number), and taking care of any licensing issues (which will depend on your location and profession). You can register for an EIN for free through the IRS. This link is to the National Association of Secretaries of State, and will direct you to corporate registration and licensing information specific to each state in the US.

Additional Small Business Startup Steps

While the startup steps listed above are often enough to technically be in business, you'll have different additional startup steps depending on your business choices, including but not limited to:

1. Renting, leasing, or buying a location.
2. Purchasing (or setting up business credit for) office supplies, furniture, and technology.
3. Hiring employees.