Registering an online business?

[lbcp15]

Hi am new to these forums. I am in the process of getting a Business to Customer online coupon website. There will probably be sales to customers and a subscription fee for businesses. Do I need to register this business with my state(Ohio)? I have done all kinds of research on this and can not figure it out. Thanks for your help!

[vangogh]

You'll want to register a trade name with the state. You can start here (http://www2.sos.state.oh.us/pls/bsqry/f?p=100:1:0:::::). The link should take you to the website for the Secretary of State for Ohio, specifically to a page where you search available business names. Assuming you're name isn't taken I think the search will take you to where you go for registering your name. You'll probably want your business name (trade name) and domain for your site to match in some way so people know it's the same thing.

With most states that's all you really need to do and technically you don't have to register your name. However, if someone else later registers it and you didn't they can make you change your name, which isn't something you want. The cost for registering varies by state, but it shouldn't be much.

There's more you can do. Registering a trade name isn't the same as getting a Trademark, which some people do. It's possible Ohio wants you to file some other paperwork based on your specific business, but not being in Ohio, I wouldn't know. Search through the Secretary of State site after registering your name. Usually the basic information you want will be there. You can also look for an SBA office (http://www.sba.gov/) near you. You'll be able to ask them any questions and they'll point you in the right direction.

[lbcp15]

Thanks for your help. Should/Will I ever have to incorporate? I'm assuming this is only necessary if my business has considerable growth?

[vangogh]

That's up to you. You don't have to incorporate if you don't want, but there are advantages to forming a corporation. In part if separates your personal and business, which can help protect your personal assets in case the business doesn't do well. There can also be tax advantages. It's not anything you need to do, but it may be something you want to do.

There are several different kinds of corporations you can form. The best thing to do is become familiar with them and understand the benefits and also the responsibilities. You don't get the extra protection and tax benefits for free after all. There are things you need to do to get them. One of our members has a site with lots of great information about LLCs (http://www.limitedliabilitycompanycenter.com/), which is the corporation many small business start out with. Definitely worth reading. Other types of corporations you may form are S-Corps and C-Corps.