09 May, 2018

Opening a Business in Georgia

Located in the Southeastern United States, Georgia is a state that incorporates 17 Fortune 500 companies and 26 Fortune 1000 companies that include Home Depot, UPS, Coca-Cola, TSYS, Delta Air Lines, Aflac, Southern Company, Anthem Inc., Honeywell, and SunTrust Banks.

Georgia has a variety of industries that currently thrive and because of some tax breaks in recent years, this state has become quite an attractive place to start a business. It has even been ranked among the top states in the country to do business, while also being recognized as number 1 for business and labor climate, number 1 in business climate in the nation, number 1 in the nation in workforce training and as having a “Best in Class” state economic development agency. If the state would be a separate country, it would rank as the 29^th largest economy in the world.

So if you are ready to start your own business in Georgia you will have plenty of advantages.

 

Pick a business structure that’s right for you

Your first step as a future entrepreneur is to choose what kind of business structure suits your company best. Some of the most common legal structures for small businesses are:

·         LLC (Limited Liability Company): advantages – credibility, pass-through taxes, no residency requirement, legal protection

·         Sole Proprietorship: advantages – easy to form and operate, no state filing required, business profit and loss reported on owner’s personal tax return.

·         Partnership: advantages – same benefits as with sole proprietorships, the only difference being multiple owners.

·         C. Corporations – represent independent legal and tax structures separate from their owners. Advantages: No limit to the number of shareholders.

 

Name your business

If you are opening an LLC or a corporation, you will need to check the availability of the name you have picked with the Georgia Secretary of State (SOS). By simply filing a name reservation you can reserve an available name for 30 days.

You are also probably planning to build a website for your future business. A good suggestion would be to choose and register a domain name early on. But before you do, a federal and state trademark check is highly recommended in order to see if your business’s name is the same as or too similar to a name already in use.

 

Create a Business Plan

Having a well-put-together business plan for your future company is absolutely essential in the forming process and even when it comes to its long-term success. There are a few characteristics that you should certainly stick to. For example, your plan should always be kept short and concise.

Regardless of the type of business that you will be operating, your plan should include the following key elements:

·         Executive summary

·         Business Opportunity

·         Execution

·         Employees and Management

·         Financial Plan

·         Appendix

 

Licenses and Permits

First of all, you will need to obtain an EIN, which is Employer Identification Number. Even if you don’t have employees, getting this number is still the best choice because most banks often require an EIN for opening an account in the company’s name or other businesses you collaborate with may require an EIN to process payments.

Secondly, you will need to register your business for taxes with the Department of Revenue (DOR). By going to the Georgia Tax Center (GTC) you can do an online registration.

Now when it comes to licenses and permits, you’ll need to be covered in the following:

·         Health and safety

·         Specific services or industries

·         The environment

·         Building and construction

If you do some online research you should be able to find all the information needed regarding obtaining licenses in Georgia.

 

Location, Location, Location.

Choosing a location for your business can be quite challenging. That’s why we’ve decided to share a few useful tips:

·         Get as much info as possible when it comes to demographics and economic characteristics of the areas that you are considering.

·         Research and visit at least 3 locations.

·         It is important to know about all the businesses in the area you choose. Some businesses can even complement your company’s products and services.

·         Find out if any competitors have locations nearby.

·         Make sure that the location you choose is in line with your company’s future goals and objectives. Finding a place you can use long-term is ideal.

To be more concise, a great location for your business is if:

·         Your target audience lives or works nearby.

·         You are near to your suppliers or distributors.

·         Buying or renting in the area is very affordable for you and suit your business’s budget.

Last, but not least, you should think about the advantages of buying and renting. If you have a substantial budget it may be much more beneficial and it could even save you a lot of money to buy a place. However, if you are unsure about the location or have a tight budget for the first year of operations it may be better to rent.

Also, don’t forget to check local zoning regulations even if you work from home.

 

Finance your business

Although financing your business may be one of the most difficult steps in forming your company, there are more options today than ever before.

These are some of the most common ways to finance your company:

·         Personal Savings

·         Friends or Family

·         Angel Investor

·         Crowdfunding

·         Bank loan

·         SBA loan

·         Line of Credit

 

Build a great website

More people are online today than ever. Having a great website that reflects your company’s values is essential to your success. Steps:

·         Get a domain name

·         Get a personalized business email address

·         Choose a business website builder right for you -> this is one of the most important parts, make sure you don’t choose a website builder that is too complex and offers all sorts of features that you don’t need.

·         Choose a website template design right for the type of business you have

·         Populate your website with your content and information

 

 

Market your business

Properly marketing your business can do wonders and highly increase your growth potential and success. Even before starting operations you need to create a plan and build a great team that can do the job right.

 

Always do research and improve

 

Keep your options open and always leave room for change. Our society and the way we do business changes every year. Our businesses should definitely keep up!