According to Peter Decaprio here are 10 Key Steps to Starting a Startup Business with As Little Money as Possible:
1. Create an LLC (or another type of business entity) to own the intellectual property and liability associated with your product, says Peter Decaprio. If you’re like most entrepreneurs, talking about your idea before it’s fully formed makes you uncomfortable. As such, you may consider forming the company after you’ve worked out all the details. However, this will put you in a really tough spot when it comes to forming your company/ Because if you haven’t formed the company, then it’s going to be nearly impossible for your team or yourself to sign contracts with customers or vendors. Not to mention that if something happens and the business fails due improper planning. You’re likely personally on the hook to repay your business partners.
2. Think of a name for your business. If you’re looking for inspiration, check out this list of 25 great company names that are easy to remember. After all, you need not only be memorable, but also easy for customers to spell and pronounce correctly – otherwise they’ll never be able to recall how they heard about you or might accidently misspell your business name when trying to search for it online!
3. Get an EIN (or Federal Tax Identification Number) from the IRS. This will be critical if you plan on hiring employees because at that point, even though payroll taxes are automatically withheld from each paycheck. Having an EIN will make filing quarterly payroll tax returns and end of year paperwork a lot easier.
4. Create your logo and corporate identity design. If you know where to look, this can be done inexpensively – try using 99 Designs or Fiverr as potential sources for such services (the bigger the value of the contract they win, the more likely you’ll receive great work). If those options don’t work for you, feel free to connect with us through our contact form so we can help direct you towards other resources.
5. Design or choose your brand colors & fonts. This step is crucial because not only do the color(s) and font(s). You choose need to convey the right image about your company. But also should be easy to reproduce and use across your website, marketing materials, business cards and packaging. To find out which font(s) and color(s) you might want to use for your logo/branding design. Look no further than the infographic below that we compiled based on results from a recent survey of 500 small business owners.
6. Register your company’s name as a trademark with the United States Patent & Trademark Office (USPTO). This step will also protect your brand from someone else copying it and selling products or services under the same name – if this happens, trust us you don’t want to be in the position of explaining what happened! Speaking of trademarks…
7. Just because you’ve been creating a cool new product, So don’t assume it’s automatically protected from being stolen. If you want to be certain nothing fishy happens with your brand or patent-pending product. Consider obtaining a Patent pending status for your intellectual property after you’ve filed the necessary paperwork.
8. Decide whether you’re going to sell as an online store or local brick & mortar business. While there are plenty of pros/cons to each approach. We recommend that if possible you try and start with a physical location – this makes it much easier to validate your idea, determine demand and won’t cost nearly as much up front versus opening an online store.
9. Start a business bank account. It’s going to be hard to convince anyone to do business with you if you don’t have a business bank account!
10. Apply for a taxpayer ID number in your state or country of residence. If you plan on hiring employees, this is require at the federal, state and local levels.
Peter Decaprio says we hope you found our list useful and by following along with these 10 steps. You’ll be off to a great start in establishing your business! If you didn’t find what you were looking for or have additional questions. Feel free to leave a comment below or connect with us through our contact form.