The world has changed dramatically over the last few months due to the Coronavirus pandemic. Many existing small businesses are changing gears and revamping their services and offerings and many new businesses are being started. It is important to have an expert guide you through the process of starting or assessing your business. The dedicated team at Orlando based CPA Accounting & Tax Services can help get your business started and be your valued partner for the life your business.
Here are 7 important steps to starting a business that we can help you navigate through with less headaches.
1. Choose Your Entity Type and Apply for a Federal Tax ID – CPA Accounting & Tax Services can help you choose from the 3 main business entity categories: a for-profit corporation, a limited liability company (LLC), or a nonprofit corporation. We also assist in the filing for your businesses Federal Tax ID.
2. Register Your Company and/or DBA – For Florida businesses, the SunBiz website has the necessary forms for registering your business. Note that most of the forms can be submitted online. The filing fees are nominal, and you must remember to renew every year. Registering a Doing Business As (DBA) is optional but if you would like to conduct business with a name other than the one you register you will want to also register your DBA and also make sure it is renewed on time.
3. Set Up Your Business Taxes – It is important to correctly set up your business taxes to be paid correctly. Most businesses pay federal, state, and local taxes.
4. Obtain a Business License – This step is often overlooked, especially for virtual businesses. Check with your county or city to obtain the correct license for your business.
5. Open a Business Bank Account – You will need to set up a business bank account that is separate from your personal accounts. This ensures that you keep your personal and business expenses separate so there are no issues at tax time or if you are audited. It is also a requirement for incorporated businesses.
6. Invest in Bookkeeping – Accurate financial and accounting information) is vital to the health of a business. At any given time, a small business owner or manager should be able to quickly and easily get an overall picture of his or her business’s financial health in a glimpse and having a bookkeeper helps ensure everything is order.
7. Avoid Tax Penalties with Payroll Services – Businesses with only a few employees can normally manage their payroll needs in-house. Even in small business mistakes can be made in calculating hours worked, deducting necessary taxes, and cutting checks or initiating a direct deposit into their employees’ accounts. An estimated one-third of all companies – small, medium, or large – receives penalties from the IRS for incorrect or untimely payroll tax payments. Having a trusted expert like CPA Accounting & Tax Services handle your payroll can help you avoid many costly common pitfalls.
Starting a business and keeping it running smoothly can be complicated. Contact the professionals at CPA Accounting & Tax Services to help guide you through tax season and beyond. We specialize in Business Accounting Services, Individual Tax Services, International Tax Services, Payroll Services, Bookkeeping and Tax Resolution Services. We have offices in Orlando, Florida and service clients worldwide. Find out how we can serve all of your accounting needs by contacting us today: www.cpaaccounting.biz