Got an idea and want to start a business?  If so, then do it!  True, there is a lot to establishing a company.  You have to write a business plan, secure some kind of funding, set up an accounting system and find a place to operate.  But establishing the basic framework is fairly simple and easy to do.  So here is how to start your own business by next week.

Come Up with a Name

Maybe you already have a name in mind.  If so, great!  If not, come up with something that describes what the business does, but do not obsess over it. For now, you just need something to operate under.  You can always set up a “doing business as” arrangement and operate under a different name if needed.

Get a FEIN (Federal Employment Identification Number)

This is the number that the federal government uses to track your business. You will need it if you plan to set up a partnership, an LLC or an S Corporation (do some research to find out the benefits and drawbacks of each one).  You do not need one if you set up shop as a sole proprietor, but it is good to have one anyway so you do not have to give out your social security number for business purposes. You will primarily use your FEIN for filing taxes and can get it on the IRS website instantly.

Register Your Trade Name

Most states require that you register your trade (business) name with them. It lets them know that you have set up shop and takes a few minutes to complete the form.

Apply for Any Necessary Permits or Licenses

Some businesses require a license. Others do not. Check with the entities (local and state) that govern businesses where you live to see what permits and licenses you need. If you plan to sell a product, then you will most likely need a sales tax license.

Open a Business Bank Account

Head to your favorite local bank with your FEIN and trade name registration and open a business bank account.  You will want to keep your business income and expenses separate from your personal income and expenses.  Starting this habit right away will keep the IRS happy.

Talk to an Accountant or Money Coach

Once you have your business framework established, then it is time to talk to an accountant or financial adviser.  She can get you on the right track regarding taxes, creating profit and loss statements, paying employees and more as you start this exciting new business adventure!