First off, it is illegal for children to sign contracts or engage in other legal transactions on their own. This means that all legal agreements pertaining to the firm, such as leases or contracts with suppliers, must be signed by a parent or legal guardian.
Additionally, before beginning any commercial ventures, children must obtain a work permit from their school district. The superintendent of the local school district issues the work permit, which is necessary for any employment or self-employment of a juvenile under the age of 18.
Additionally, minors in Ohio must comply with the same tax laws as any other business owner. If the company offers taxable goods or services, one of the requirements is to obtain a vendor’s license from the Ohio Department of Taxation. You can apply for the vendor’s license via the Ohio Business Gateway online or by mail using the paper application form.
The procedure to register a business in Ohio normally takes two to three weeks to complete. Choosing a company name and confirming its availability with the Ohio Secretary of State’s office are the initial steps. The business owner must submit Articles of Organization to the Secretary of State and receive an Employer Identification Number (EIN) from the IRS after the name has been authorized.
If the company is set up as a Limited Liability Company (LLC), Ohio charges a $50 yearly fee to keep the LLC status. This fee can be paid online through the Ohio Business Gateway and is payable on the anniversary of the LLC’s creation.
The following procedures must be followed in order to create an LLC in Ohio:
1. Select a name and confirm its availability with the Secretary of State’s office.
2. Submit your organization’s charter to the Secretary of State. 3. Request an EIN from the IRS. 4. Create an LLC operating agreement, 5. Obtain any required licenses or permits, and 6. Pay the yearly cost to keep your LLC in good standing.
In conclusion, Ohio law permits children to own businesses, but they are subject to a number of restrictions and legal requirements. For a minor company owner in Ohio, it’s crucial to get a work permit, have a parent or legal guardian sign as an authorized signatory, and adhere to tax and licensing regulations. Ohio’s LLC registration process is simple, however there is a yearly charge to keep the LLC status.
Yes, you must register your company with the Ohio Secretary of State’s office if you run a sole proprietorship in Ohio. By submitting a Registration of a Sole Proprietorship form and paying the required money, you can accomplish this. In order to run your business in Ohio, you may also need to secure the essential licenses or permissions.