BASIC STEPS TO OPENING A SMALL BUSINESS IN ILLINOIS

1. Think of a concept for your small business and choose a name that is catchy and unique.

2. Build your own brand. The image of a business is decisive for the sale of products or services. Currently, virtual tools are a great alternative, but letterhead stationery, business cards and the type of advertising you will give to your business are still in force.

3. Write a plan for the business. This is very useful for obtaining financing, but also for creating a pricing structure. Factor in the cost of labor, materials, and overhead, and figure out how much you’ll need to charge for your services to make a profit.

4. Find the financing you need for your small business.

5. Decide on a business structure to formally incorporate your business.

6. Register your business with the IRS to receive an “Employers Identification Number (EIN)”. You must also obtain an Illinois Business Tax Number issued by the Illinois Department of Revenue. Establish an accounting system. This will be crucial to avoid having problems with taxes.

7. Register your business name with the county clerk. Illinois has a law known as the “Assumption of Name Law,” which states that any business that does not identify you by name must be registered with the county clerk for the county in which your business is located.

8. Register with the Illinois Department of Taxation (IDOR). By law, any business that hires employees, buys or sells products, or manufactures merchandise must be registered with the IDOR.

9. Choose a place. Your business must operate in some space, whether it is a room in your house

or in a commercial space that you decide to rent. There are negative and positive points to
each place, so analyze your needs very carefully before making a decision.

10. Take into account the laws in force for the type of business you want to open for
obtaining local licenses and permits. Almost every business needs to obtain
a license or permit. Sometimes the license is obtained from the state of Illinois, the
county or city.

11. If you wish to register trademarks, logos or slogans, another procedure must be initiated. For example,
If there is someone else who is already using a similar name for their company and who
could cause confusion, another name should be selected to avoid a lawsuit in
the future.

12. It is recommended that the business have a separate bank account even if it is a
small business with only one owner. The account holds the profits of the business
separate from the owner’s money.