Hi,
I am planning on reselling web hosting and I was wondering if I had to register my company name or anything. Also, would I need to get a business licence? Could anyone please enlighten me on this matter? Thanks in advance.

Its not a good idea to ask for tax or legal advice on a message board.

Really.

--Tina

Originally posted by AffordableHost
Its not a good idea to ask for tax or legal advice on a message board.

Really.

--Tina

Why?

There´s a threat around these forums that talks about it.

If you don´t have enough money, begin with unregistered business. But, if you expand it, better do.

In case you have a client from your country interested to do big business with you, he may ask you for your location and will contact you to speak personally. Then this client will pay you with a check with the name of your company, not your personal name. When you go to the bank to change the check, they will ask you for your business license and you must open a business account. After that will come the tax declaration and accounting. At the end you will finish registered.

;)

You'll want to ask your local government if you need a business license.

Typically unless you are doing business under your legal name, you will probably need to register the name that you're doing business under. Again, ask your local gov.

Regardless of where you get money from it has to be claimed on your income taxes (unless it's under a certain amount)...

In most places this also applies to business licenses. You'll need to contact your local city/county government to make sure though.

You don't, however, need to incorporate or form an LLC. You could operate as a sole proprietership for as long as you like.

I operated without an EIN for a while (employer identification number) but not without a business license. I just recently obtained an EIN (it's neccessary if you have any employees or for some banking purposes)...

EIN's are free and act as a kind of "social security number" for your business... so you can keep the business seperate (somewhat) from your personal taxes (although they all end up together anyway :D )

Hope I've made some sense. I would reccommend, though, that you should see an accountant or business attorney in your area. Or go to your local Chamber of Commerce or Small Business Administration. They often offer free advice to business owners.

Thanks for your help guys

If you are still in the planning stages of your business, take the time to visit a good C.P.A. and you'll be on the right path.