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What legal steps should I take before starting a new business in Ohio?

Picture of Chris Battis By   ·  1 minute read

Before starting a new business in Ohio, there are several legal steps that you should take to ensure compliance with state and federal laws. These steps include the following:

  1. Choose a business structure: The first step is to decide on the type of business structure for your company. Ohio recognizes several types of businesses, including sole proprietorships, partnerships, limited liability companies (LLCs), and corporations. Each type of business structure has different legal and tax implications, so it is important to consult with a lawyer and accountant before making a final decision.
  2. Register your business: Ohio law requires businesses to register with the Secretary of State's office. This involves filing Articles of Incorporation or Articles of Organization, depending on your business structure. You may also need to obtain any necessary licenses or permits for your industry.
  3. Obtain necessary insurance: Business owners in Ohio are required to carry workers' compensation insurance if they have employees. Depending on your industry, you may also need to carry general or professional liability insurance.
  4. Comply with tax laws: Ohio businesses must register with the Ohio Department of Taxation for state taxes and obtain a federal Employer Identification Number (EIN) from the IRS. You will also need to register for any necessary sales tax or other taxes based on your industry.
  5. Create employment agreements: If you plan to hire employees, you should create employment agreements that outline the terms of their employment, including salary, benefits, and job duties. It is also important to comply with state and federal employment laws, including minimum wage and overtime requirements.
  6. Protect your intellectual property: If you have a unique business name, logo, or product, you may want to obtain trademarks, patents, or copyrights to protect your intellectual property.

It is important to note that these steps may vary depending on your specific industry and business structure. It is always recommended to consult with a lawyer and accountant before starting a new business to ensure compliance with all applicable laws and regulations.