Texas Home-Based Business Basics
The Small Business Administration estimates that home-based businesses make up over half of all businesses in the U.S. Starting a home-based business can be a great way to get your new business idea off the ground while minimizing overhead, and can allow you to start on a very small scale. In addition to the overhead savings, home-based business owners consistently rate flexibility as one of the best business perks.
Whether the neighbors approve of your business plan may not be at the top of your priority list, but you do need to consider whether possible zoning regulations or other restrictions will apply. Here are some questions to think about before you take the plunge:
- Are there any zoning restrictions where you live? You may be able to search your home address on the city's website to find out how your property is zoned. If not, the city's website should contain contact information for the zoning office. If all else fails, call your city hall and tell them what you need. They can direct you to the right person to help answer your zoning questions.
- What type of business entity will you operate as? In other words, will you conduct your business as a sole proprietor or will you file legal documents to form a business entity such as a corporation or LLC?
- What will you name your business? If you plan to use a name other than your personal legal name for the business, Texas requires you to file an Assumed Name Certificate with the county clerk in the county where you plan to do business.
- Do you need a business license or other permit to conduct business in your city, county, or state? This question can vary depending on the nature of your business.
- Will your homeowner's or renter's policy cover a loss of inventory or other damage to your home-based business? Check with your insurance carrier and your written policy to find out.
- Do you need to obtain a federal EIN, or employer identification number? Find out more at the IRS EIN application website.
- Have you consulted an experienced Texas business law attorney who can answer other questions you might have along the way?
The process of starting your own business can be a little complicated, but the rewards outweigh the costs. Be sure your give your business the best chances for success by starting on the right foot. Consult with an experienced Texas business law attorney to discuss your options and help you decide which course of action is best for you. Business start-up advice from a knowledgeable attorney can more than pay for itself in time and money saved.
If you are considering a home-based business or other start-up, consult an experienced Bryan-College Station, Texas business law attorney who can provide assistance and answer your questions. Call the Peterson Law Group to make an appointment at 979-703-7014 or 936-337-4681 or fill out our online contact form.