Making a decision regarding your company’s legal structure is one of the first tasks you must take if you want to launch a business in Virginia. The simplest and most typical type of company entity is a sole proprietorship. We’ll walk you through the steps of forming a sole proprietorship in Virginia in this post.
The first step is to select a business name. You must decide on a business name before Virginia business registration. Your company name must be original and not being used by another company in Virginia. The Virginia State Corporation Commission’s internet database can be searched to see if your preferred company name is available.
Step 2: File a Business Registration Form You must submit a “Certificate of Assumed or Fictitious Name” to the Virginia State Corporation Commission in order to register your company there. Online or mail-in filing is an option. There is a $10 filing fee.
You might need to apply for business licenses and permissions from state and local government organizations depending on the type of business you run. A list of the licenses and permits necessary for various sorts of enterprises is provided by the Virginia Department of Business Assistance.
You must request an Employer Identification Number (EIN) from the IRS if you want to hire staff. EIN applications can be submitted online or by mail.
LegalZoom is legitimate, right? A reputable online legal service company, LegalZoom, provides a range of legal services, such as contract drafting, trademark registration, and business creation. Despite some customers’ conflicting reports, LegalZoom has a positive reputation generally and is a reliable choice for people seeking convenient and inexpensive legal services. What should the LLC be called?
You should pick a name for your LLC that is distinct and hasn’t been taken by another company operating in Virginia. Additionally, your company name has to be simple to pronounce and remember. You might want to think about putting words in your name that describe the nature of your company. What if an LLC doesn’t make any money?
Even if an LLC has no revenue, it must nevertheless submit a tax return to the IRS. You may submit a “zero income” tax return if your LLC is not profitable. Depending on what your state and local governments require, you might also need to file state and local tax returns. Does an LLC have to be profitable?
Although an LLC is not necessary to produce money, it is a commercial entity that is created with the intention of doing so. You can encounter legal and tax problems if your LLC frequently experiences a loss. To make sure that your firm is profitable before forming an LLC, it is crucial to have a strong business strategy and financial predictions.
Virginia is, in fact, a piggyback state. In other words, the state complies with federal tax regulations and permits taxpayers to use the same forms and calculations for both federal and state tax returns.