1. Select a business structure: You must select a legal structure before you can register your firm. Sole proprietorship, partnerships, LLCs, and corporations are popular choices. It’s crucial to pick the structure that best meets your demands because each one has unique benefits and drawbacks.
2. Pick a company name: The next step is to decide on a name for your company. Make sure your business name is original and not being used in DC by another company. On the DCRA website, you may see if your preferred name is available. 3. Obtain a business license: In DC, the majority of companies are required to do so. Through the DCRA website, you can submit an online license application. Depending on the kind of business you’re starting, the licensing price varies. Finally, you must register your firm with the DC government.
You can check the DCRA website to see if a company is registered in DC if you aren’t sure. The website will display details about the business, including its registration status, if you just type its name into the search field. What Does It Cost to Register a Business in Washington, DC?
Depending on the kind of business you’re forming, different fees apply for DC business registration. The average business must pay a $220 registration cost. However, other companies, like restaurants and liquor outlets, might have to pay extra charges. How Much Time Does It Take to Register a Business in Washington, DC?
Typically, it takes 10 to 15 business days to register a business in DC. The precise period of time will, however, depend on the kind of business you’re beginning and whether any more approvals are needed.
The exact procedures stated above must be followed in order to register a sole proprietorship in Washington, DC. However, you’ll also need to file a Schedule C along with your individual tax return and request a tax identification number from the IRS. Additionally, if you intend to offer goods or services in DC, you might need to apply for a sales tax permit.