Starting a new business requires more than a good idea. Understanding the requirements can help ensure that your business operates smoothly from the start, avoiding potential legal hurdles.
Determine your business structure
Before obtaining licenses, decide on your business structure. Will you operate as a sole proprietorship, LLC, or corporation? Your choice affects the types of permits you need. For example, an LLC requires registration with the Oklahoma Secretary of State, and you may also need to obtain an Employer Identification Number (EIN) from the IRS if you plan to hire employees.
Obtain a local business license
Most businesses need a business license. This ensures your business complies with local regulations and zoning laws. You can obtain one from your city or county clerk’s office. It’s important to note that Oklahoma does not have a state-wide general business license requirement, but many local jurisdictions do.
Apply for state permits
Depending on your industry, you might need a state permit for your new business formation. For example, if you’re starting a restaurant, you’ll need a food establishment license from the Oklahoma State Department of Health. If you’re selling products, apply for a sales tax permit from the Oklahoma Tax Commission. Be sure to research any additional state-specific requirements based on your business type, as these can vary significantly.
Comply with federal regulations
Some businesses also need federal permits. For example, selling alcohol requires a permit from the Alcohol and Tobacco Tax and Trade Bureau (TTB), and broadcasting businesses need a license from the Federal Communications Commission (FCC). Additionally, if you hire employees, you must comply with federal employer responsibilities, including tax regulations.
Stay on track with ongoing compliance
Starting a business is just the beginning; keeping it compliant requires attention to detail and regular updates. By staying organized and proactive, you can focus on growing your business while ensuring it remains in good standing.