Many people are now interested in starting a business. There are tons of research to be done, lots of learnings about how to manage a business, what requirements are needed to be accomplished, and how much will all these entail.
If you are planning to set up a business in Virginia, it would be helpful to gather the necessary information first before jumping into it. Find out how to register a business in Virginia, what the Virginia LLC cost is, know which permits and licenses to apply for, and many more. To help you out, let us go through the requirements and cost of starting a business in Virginia.
Like any other state, Virginia requires the following steps to be taken when opening a business:
When starting a business in Virginia, you can pick from three options, which include a Doing Business As or DBA, a corporation, or a Limited Liability Company or LLC. For new small businesses or startups, it is often advisable to go for an LLC.
Your business name should be unique, easy to pronounce, and straightforward. However, the main requirement for a business name is for it to have no duplicates. The best thing to do is to do a search on the Virginia Business Entity Database.
Another essential requirement is to file the Articles of Organization to the Virginia State Corporation Commission for a filing fee of $100. You are also required to assign a Registered Agent for your business.
In Virginia, all LLCs are required to apply for the EIN or Employer Identification Number. It is used for paying payroll taxes, filing tax returns, and more for your company. Application is done by completing the IRS Form SS-4 and filing it online via the IRS website.
Federal, state, and local rules and regulations in Virginia require businesses to register for several permits and licenses, which often include the following.
1. Business License – Although Virginia does not have a general business license, a lot of the cities within the state require businesses to carry a business license to operate.
2. Sales Tax Certificate – For businesses that are selling services and products, a Sales Tax Permit needs to be filed with the Virginia Department of Taxation.
3. Professional Licenses – Individuals who have occupations and professions like tattooists, nail technicians, landscapers, and home inspectors need to obtain a professional license through the Virginia Department of Professional and Occupational Regulation.
4. Zoning Permits – Prior to operating your business, it is advisable to check the local zoning regulations in your area. Some areas may require you to obtain zoning permits before you can start operating.
The requirements for running a business in Virginia do not end once you have applied for them upon starting your company. Like most states, businesses in Virginia are also required to accomplish some annual reports. These are periodically submitted to the state corporation commission or secretary of state. LLCs in Virginia need to file an annual report on or before the last day of the company’s anniversary month, with a filing fee of $50.
Starting a business might be difficult at first glance, but with proper planning, you can set up your business correctly and in line with the requirements of your state. Always keep in mind all the laws and duties you need to abide to protect your business from possible legal problems. Not only will this prevent lawsuits but this could also help in the success of your business.