Sunday, 22 July 2018

Information and commentary for the small business banking industry

Making sure a business is legally compliant

05 Sep

There are any number of state and federal laws that a small business needs to comply with. What they are depends on the state a business is operating in, what kind of business it is and what the structure is.

That said, there are several legal factors that all businesses should be aware of, such as making sure they have the right structure for their business. These mostly consist of sole proprietorships, partnerships, limited liability companies and corporations.

They also need to have an Employee Identification Number (EIN). It’s assigned by the Inland Revenue Service (IRS) and is used for taxes and to distinguish a business from others.

What taxes need to be paid, whether state or federal, depends on the business, so it’s important to find out what they are and to register for any state taxes. Checking on state and federal permits and licenses that might also apply to a business is critical as well, as no-one wants to be fined or shut down because they didn’t tick all the boxes.

That’s why it’s important to get advice from lawyers and accountants. They’ll make sure nothing is missed and they’ll also know about some of the weird laws that might affect your business – such as those in this infographic.

Read the full article at:

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