Discuss the fun task of marketing a t-shirt shop. Where to advertise, link building, word of mouth, press releases, search engine marketing, keyword advertising, magazines, etc.
What would you reccommend for starting a home business. Sole Proprietorship or LLC. Is there a lot more paperwork to do for a LLC and do you have a lawyer or accountant help you? What did you start with? I know for a while I won't be making money until I recoupe my equipment expense. But I want a Tax ID so I can buy wholesale supplies.
What State are you in? To be a sole prop you need to register with your local government like a city or county and place a DBA ad in a local paper. For an LLC you will file with your Secretary of State. If you use your name in your business like Joe Smith Enterprises then you don't need to register with anyone.
The tax id you refer to is called a sellers permit in California and you apply with the Board of Equalization. Some suppliers require it, others do not. In California you will pay sales tax on your purchases if you don't have it.
You can do the legwork yourself for either and spending $20 on a book from Nolo Press will help you out. For a DBA I would do it myself. You can also use Legal Zoom for a small fee, around $100 for 30 day service to file for an LLC. You can also do a C-Corp for about the same price and enjoy the benefits of that type of organization.
If you want to open a bank account for your business you will need your DBA filing or your Articles of Agreement for an LLC.
I have done a Sole prop, LLC and C-Corp. Our garment/promotional business is a C-Corp. I used LegalZoom for both the LLC and C-Corp and did the Sole Prop myself. Check out The Tax Guru here: Corporations He has a lot of good stuff.
Binki is right on as far as what is needed here in California. We did it ourselves, you can to. One thing when you apply for your resale permit, underestimate your potential earnings. Otherwise, there may be a chance you have to leave a deposit to cover any future tax payments. If you cannot make the deposit, you will not be able to get the resale permit.
I have done a Sole prop, LLC and C-Corp. Our garment/promotional business is a C-Corp. I used LegalZoom for both the LLC and C-Corp and did the Sole Prop myself. Check out The Tax Guru here: Corporations He has a lot of good stuff.
binki,
What was the reason(s) you went with three structures (sole p, llc and c corp)?
Thanks for your replys. I will definitely estimate low.. so you have to apply for a permit after you register a business? How long does this process take? Is it worth doing an LLC over a Sole Proprietorship. I will be part time for a while.
I'd register as an LLC. This allows you the protection in case of being sued, but gives you the tax right offs that pass to you direclty. Meaning, what your business spends is a right off for your personal expense. This helps when you are first starting up and gets you back more money on your income tax returns. I did this for all my businesses and for my real estate. Good Luck
What was the reason(s) you went with three structures (sole p, llc and c corp)?
We registered a sole prop. for a wholesale paper company about 20 years ago. We went that way because of the ease of entry.
We started a software consulting company as an LLC for Liability Protection.
We started a Promotional Products company as a C-Corp because it has the most benefits available from liability protection, ability to have retained earnings, lower tax rates, etc. At some point we will reform the software consulting to a C-Corp for the same reason.
Registering a Business 
