I was recently researching a company that I was going to do business with and noticed that they were missing a lot of aspects of a legitimate business. They had no website, no Google Business Profile and no BBB Listing. It made me suspectable about doing business with them.
It made me think and stress because if you would like your business to be taken seriously, you got to have the logistics in place or you will not be trusted to do business with.
Making sure your business is legitimate involves several key steps to ensure it complies with legal, financial, and ethical standards. Here’s what you should do:
1. Register Your Business
- - Choose a business structure (LLC, Corporation, Sole Proprietorship, etc.).
- - Register your business name with the appropriate government authority.
- - Obtain an Employer Identification Number (EIN) from the IRS (if in the U.S.).
2. Obtain Necessary Licenses and Permits
- - Check local, state, and federal requirements for operating legally.
- - Apply for business licenses, zoning permits, health permits, etc.
3. Set Up a Business Bank Account
- - Open a separate business account to keep finances organized.
- - Ensure transparency in financial transactions.
4. Get an Official Business Address & Contact Information
- - Use a professional address and phone number (not just a P.O. Box).
- - Have a functional website and email for credibility.
5. Comply with Tax Obligations
- - Register for sales tax, payroll tax, or any required taxes.
- - File taxes correctly and on time.
6. Create Legal Contracts & Policies
- - Draft contracts for clients, employees, and vendors.
- - Have terms of service and privacy policies in place if operating online.
7. Maintain Proper Business Insurance
- - Get liability insurance, worker’s compensation, and other relevant policies.
- - Protect your business from potential lawsuits and financial risks.
8. Build Trust & Transparency
- - List your business on Google My Business, Better Business Bureau (BBB), and other directories.
- - Encourage customer reviews and have a professional social media presence.
Would you like help with any specific part of the process?
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