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MXN Daily, Mexico City (2026)

24/11/2021

16.Take Care of the Legal Issues
There are several legal issues to address when starting a business after choosing the business structure.

Here’s what you should do:

Choose and register your business name. Make it memorable but not too difficult. Choose the same domain name, if available, to establish your internet presence.
Apply for an Employer Identification Number. Make your application to the Internal Revenue Service. This process may take up to four weeks.
Apply for the licenses and permits you need. What you need is determined by your industry and location. Most businesses need a mixture of state and federal licenses to operate. Check with your local government office for licensing information tailored to your area.
Open a business bank account. You want to keep your business and personal finances separate. Here’s how to choose a business checking account—and why separate business accounts are important.
Apply for business insurance. You should consider general liability insurance for your business in case of property damage, lawsuits or other problems. You may also want to invest in product liability insurance and commercial property insurance. In most states, workers’ compensation insurance is required by law if you have employees.
7. Obtain Capital for Your Business

24/11/2021

15.. Choose Your Business Structure
When choosing the legal structure of your business, consider one that serves the interests of the company, you and any other owners. One of the first issues you should address is that of limited liability.

If you are starting a very small business with few employees, you might consider sole proprietorship. The business and the owner are, for legal and tax purposes, considered the same. The business owner assumes the liability for the business. This means that if the business fails, the owner is personally and financially responsible for all debts of the business.

To limit your personal liability, you could register as a limited liability company (LLC). LLCs can be owned by one person, or several. Such owners are referred to as members. Other companies can be considered members as well. If you want to start a specialized business as an accountant or an attorney and have one or more partners, you can register as a limited liability partnership (LLP) for the same reasons.

If your company will be larger and have several employees, consider using the S corporation form of organization if you don’t mind limiting the number of shareholders to 100 and don’t need to obtain venture capital (as many VC firms aren’t eligible to become S corporation shareholders).

For a high-growth start-up, the C corporation might be most appropriate if you are interested in venture capital since you can issue more than one class of stock. Both types of corporations give you the protection of limited liability but differ in their treatment of income taxes and other financial considerations.

24/11/2021

14. Develop a Business Plan
A business plan is a living document that serves as a roadmap to guide the development of a new business. A business plan is constructed in an order easy for potential investors, financial institutions and management of the business to read and digest. Even if you expect to self-fund, a business plan can be a helpful tool.

Business plans typically offer some form of SWOT analysis. Financial institutions and venture capitalists find a SWOT analysis to be a concise source of information about the new business and its competitive strategy. You’ll be ahead of the curve if you already conducted a SWOT analysis during your market research.

A typical business plan is organized something like this:

Executive summary: The executive summary should be the first item in the business plan, but it should be written last. It describes the proposed new business and highlights the goals of the business and the methods that will be used to achieve them.
Mission and goals: This section should contain a brief mission statement and detail what the business wishes to accomplish and the steps to get there.
Background summary: This portion of the business plan is the most time-consuming to write. Compile and summarize any data, articles and research studies on trends that could positively and negatively affect your business or industry.
Organizational structure: In this section, write about the type of business organization you expect, what risk management strategies you propose and who’s going to staff the management team.
Marketing plan: The marketing plan identifies the characteristics of your product or service, summarizes the SWOT analysis and analyzes competitors.
Financial plan: The financial plan is perhaps the core of the business plan because, without money, the business will not move forward. A proposed budget should be included along with projected financial statements, such as an income statement, a balance sheet and a statement of cash flows. Usually, five years of projected financial statements are acceptable. The funding request is also in this section.
Summary: The funding request should be summarized along with the main points concerning why the business is viable.

24/11/2021

13. Do Your Market Research and Competitor Analysis
Is your idea for a product or service that you want to sell a viable one? You’ll need to conduct some market research to find out. Such research is crucial to understand the level of demand for the product or service you want to offer and can help you determine the tastes of the consumer base within your target market. It’s also a necessary part of your business plan that you will use to obtain funding.

Your product or service may be one not currently offered in the marketplace. If so, that’s a great advantage. If it’s already offered, you must have a way to differentiate it from its competitors. If you understand the economic environment and trends that might affect your consumer base and demand, you will better choose what and how you want to sell.

Here’s an example of product and service differentiation in the restaurant industry. Through market research, you find out that healthy-minded customers aren’t satisfied by the pre-made salad options offered by nearby chain restaurants. With this data, you can ensure that your restaurant caters to that niche and differentiates itself from the chains by offering build-your-own salads and other customizable, healthy dishes.

24/11/2021

12. Focus on Refining Your Idea
If you don’t have a firm idea of what your business will entail, ask yourself the following questions: What do you love to do? What do you hate to do? Can you think of something that would make it easier?

These questions can lead you to an idea for your business. If you already have an idea, they might help you expand it.

Your business idea doesn’t have to be a game changer. It doesn’t need to be novel, either.

For example, do you love to travel? Consider a business as a travel planner if you are good at finding unique hotels and experiences. Do you have a specific talent, such as cooking? Start a business as a personal chef and deliver home-cooked meals. Are you passionate about animals? Become a dog trainer or sitter—or a combination of both.

You can also look around at what is currently available in the marketplace. Then, imagine spinoffs of those products and services that might exist five years from now—10 years from now. That could be the seed that sprouts into your very own product.

24/11/2021

11.Get Your Mind on the Right Track
It takes a certain mindset to start a business from scratch—one that’s not too skittish and not too foolhardy.

Perhaps the greatest challenge for new owners is working longer and harder than they ever expected. The truth is: No one will be more determined to see your business succeed than you. You need to be committed from the get-go.

Another common deterrent for entrepreneurs is timing. There is seldom a perfect time to start a business. If you have a product or service that you think could work, then go for it. You want to plan, yes, but you don’t want to get stuck in a cycle of analysis paralysis. You will never truly know if now is a good time unless you try. The key is to get started. Then you deal with the challenges and opportunities along the way.

You’ll need fortitude to overcome those challenges and the ability to enjoy the opportunities. Desire and determination are essential to drive a small business to success. Even more essential is a vision of what could be.

Stay motivated by focusing on the rewards of your small business succeeding, independence and the sense of pride that comes with owning your own business.

23/11/2021

10
Open a business bank account
A small business checking account can help you handle legal, tax, and day-to-day issues. The good news is it’s easy to set one up if you have the right registrations and paperwork ready.

23/11/2021

9
Apply for licenses and permits
Keep your business running smoothly by staying legally compliant. The licenses and permits you need for your business will vary by industry, state, location, and other factors.

23/11/2021

8
Get federal and state tax IDs
You’ll use your employer identification number (EIN) for important steps to start and grow your business, like opening a bank account and paying taxes. It’s like a social security number for your business. Some — but not all — states require you to get a tax ID as well.

23/11/2021

7
Register your business
Once you’ve picked the perfect business name, it’s time to make it legal and protect your brand. If you’re doing business under a name different than your own, you’ll need to register with the federal government, and maybe your state government, too.

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