What does it mean to incorporate in South Dakota? For small businesses, the state offers an abundance of industries to get started in and plenty of sightseeing by way of national parks and monuments. The home to Mount Rushmore, Badlands National Park, and routes within the Lewis and Clark National Historic Trail, South Dakota is ranked by Forbes as #11 on the best states for business list.
The state’s biggest draw? Being #1 in the country for lowest business costs which are about 25% below the national average. Industries that perform well in South Dakota include retail, finance, healthcare, agriculture, tourism, and government spending. Ibp Hog Market Inc., Ellsworth Air Force Base, and Rapid City Regional Hospital round out the top three largest employers in the state, with anywhere between 4,000 to 4,800 employees. With additional low unemployment rates, it’s hardly any wonder that the state ranks as #6 in the nation for its economic climate.
This week on 50 States of Incorporation, we take a look at ‘The Palmetto State,’ South Carolina! Also know as ‘The Rice State’ and ‘The Swamp State,’ South Carolina’s official nickname comes from the state tree, the Sabal Palmetto, which distinguished itself during the revolutionary war. It was a fort made of Palmetto logs that repulsed the British fleet from Sullivan’s Island back in 1776! But South Carolina has a lot more to offer than strategically useful flora. Though it was hit hard by the recession, its strong agricultural heritage, and the state’s friendly attitude towards business, has really boosted its recovery. So what should South Carolinian entrepreneurs know about their state? And what does it take to open up a business and incorporate in South Carolina?
Are there any benefits to running a business in South Carolina?
Plenty! South Carolina is actually one of the most business-friendly states in the USA. Thumbtack gave the state an A- in overall friendliness, and South Carolina has the tenth lowest tax burden of all states. It also makes sense to incorporate in South Carolina as the state boasts a low, 5% flat corporate income tax rate. Of course, South Carolina does all it can to help small businesses within the state. The South Carolinian Secretary of State’s office maintains a Small Business One-Stop Site to help new entrepreneurs find and file for everything they need to get their business up and running, and the Department of Commerce is proud to offer multiple growth incentives to businesses with the state.
We’re heading on over to the Ocean State for today’s 50 States segment to find out how to incorporate in Rhode Island!
Rhode Island is the smallest state in the United States, and even then, this tiny state is about 14% water due to all of its bays and inlets. Despite its petite size, RI is still one of the most densely populated of the 50 states. That means lots of small business owners, especially when it comes to the healthcare and tourism industries the state is known for.
For years, MyCorporation has been honored to help thousands of new entrepreneurs to get their new small business started on the right foot by incorporating or forming an LLC. But business maintenance doesn’t end when the articles of incorporation are filed! There are actually a few more steps to ensuring your new entity is compliant and ready for business. In order to help educate new business owners, and answer one of our most commonly asked questions, we are happy to reveal our new video, “What happens after you incorporate or form an LLC?”
Step 1. Apply for an Employer Identification Number. An EIN is going to be needed if you want to open a business bank account, or if you want to hire employees.
Step 2. File for trademark protection, and begin protecting your brand. You should also buy a domain name and secure social media properties as soon as possible.
Step 3. Look into what business licenses you have to apply for. Licensing varies depending on locality, entity, and industry, so it is a good idea to consult with a professional who can help you figure out exactly what you need.
Step 4. Remember to stay on top of annual maintenance. Most states will require business entities to file an annual report, which will have some basic information on your business like its name, address, registered agent, and industry. You also have to document any changes to the corporation or LLC. If you bring on new owners, or new investors, make sure to make note of it. You should also update your operating agreement or bylaws as new owners and investors will probably want a say in how the company is run.
Step 5. Thinking about expanding outside of your home state? Well, remember that you have to apply for permission to do business in any new state. If you don’t, you could be looking at hefty fines and dissolution of your business in that state. So don’t forget to file to qualify as a foreign entity in any state you plan to expand into.
Have any questions about corporate or LLC maintenance? Need help figuring out what you need to file? Just give MyCorporation a call at 1-877-692-6772 and we will be happy to help you out!
As one of the thirteen original colonies of the United States, the state motto of “virtue, liberty and independence” couldn’t be better suited for any other state than Pennsylvania. Nicknamed the Keystone State, Pennsylvania is ranked at #6 in the nation for its total gross state product and noted for being the home to eight Fortune 500 companies as well as hundreds of public schools, thousands of private schools, and several hundred colleges and universities.
Sitting at #27 on the Forbes best states for business list, entrepreneurs looking to incorporate in Pennsylvania will be happy to find that the quality of life is in the top ten bracket due to the caliber of education available and range of private and public companies headquartered in the state. (Some of which include U.S. Steel, Heinz, and Crayola, the latter of which has acquired the rights to a personal favorite company of mine, Silly Putty.)
We’re all going to be OK… that is, today we’re going to be talking about how to form an LLC and incorporate in Oklahoma! Nicknamed the “Sooner State,” Oklahoma is famous for its Native American roots, agricultural products, and a solid stake in the aviation industry. The state is about 69,903 square miles large, making it the 20th largest state in the USA. Its population comes in at about 3,850,868, making it the 28th most populous of the states.
Oklahoma’s biggest industries are farming, oil, and natural gas. If your small business is in one of those industries, doing business with the Okies may be the perfect place for you! Though, even if you’re not in one of those industries, your business will still benefit from the booming natural gas industry, as energy costs are 25% below the national average. According to the Forbes best states for business list, Oklahoma comes in at #14 of the 50 states, receiving that high ranking thanks to inexpensive business costs, regulatory environment, and the overall economic climate of the state.
Thumbtack.com also gave Oklahoma flying colors on the small business friendliness test. With an overall ‘B’ grade, Oklahoma scored high in areas concerning regulations, employment and hiring, tax code, licensing, and zoning.
Nicknamed “The Heart of It All” our 50 states series heads to the Midwest today, as we learn what it means to form an LLC and incorporate in Ohio. Infamous in national elections for being a swing state and with Columbus as the state capital, Ohio’s largest revenue sectors are within the manufacturing and financial service industries. Kroger, Procter & Gamble, and Progressive are all brands that call the state home for their headquarters.
Forbes ranks Ohio as #29 as one of the best states for business, with high marks given to the quality of life the state provides despite the additional note that one of the biggest state woes is net migration. Overall ease and friendliness of starting a business in Ohio receives a C+ from Thumbtack.com, but in the regulation sector it grades on a “B” average in tax codes, health and safety, and employment.
If you’re ready to start your own business in The Buckeye State, keep these notes in mind before you form an LLC or incorporate in Ohio:
Small businesses get better tax breaks than hobbyists, reports the Small Business Administration. As a hobbyist, you must pay tax on any income earned from your activities, but are limited in your deductions. When performing an activity with the intent of making a profit, you are considered “in” business.
Hobbyists, go a little further and become a business-in-fact with all of its tax and legal benefits.
Telltale Signs you are Running a (Real) Business
- Your garage and/or spare bedroom are so full of supplies and inventory that you can’t park your car or find your way to the window.
- Your sales have grown, along with your need for supplies and related expenses, and you’re making a name for yourself, your products and/or services (branding).
- Your supplier tells you that to be able to order in larger quantities and to get price breaks, you’ll need a state tax ID number (obtainable only for registered businesses).
We’re Big Apple bound this week in our 50 states of incorporation series as we learn what it takes to form an LLC and incorporate in New York!
AOL, HBO, J.P. Morgan Chase, NBC, Time Warner – to list the sheer number of major corporations that call NYC home to their headquarters would undoubtedly be an entire paragraph (or two) unto itself. Forbes summed it up nicely in a piece ranking the state on the 50 best states for business list, stating that if New York were a country, the state’s $1.2 trillion dollar economy would be the 14th largest in the world after Spain.
Whether you’re working in finance, banking, or fashion, seemingly every type of industry has a place in New York. There are plenty of VC investment opportunities to be found and lots of resources within the state as well. But New York also suffers from high costs in areas concerning taxes, living, and healthcare. Thumbtack.com ranked the state with a D+ in overall friendliness and an F for ease in starting a business last year – ouch.
However, the old adage does ring true that if you can make in New York, you can make it anywhere. If you think you and your business are ready to take on the concrete jungle and incorporate in New York, read on for more information on how to get started!
This week we’re covering the Land of Enchantment – New Mexico! Though admitted to the union in 1912, New Mexico has, for centuries, been home to the native Navajo, Pueblo, and Apache people. With the fourth-largest native population in the United States, New Mexico continues to be an important center of Native American culture. This culture, along with New Mexico’s stunning natural beauty, are the two of the main drivers of one the state’s biggest industries – tourism.
Along with tourism, New Mexico has a rich deposit of fossil fuel and natural gas, and is home to multiple military bases. In fact, federal spending is one of the biggest sources of revenue for New Mexico. The government of New Mexico is always looking for ways to help small businesses grow, and there are loads of tax incentives available to entrepreneurs in the state! But what does it take to start a small business there? How do you form an LLC or incorporate in New Mexico? And are there any special rules you should be aware of?
What is needed to start your small business in New Mexico?
Anyone that does business in New Mexico has to register with the New Mexico Taxation and Revenue Department, and be issued a CRS Identification number. Your CRS number is used to collect and pay tax on gross receipts. In addition to registering, all new small businesses should apply for a ‘Doing Business As’ name with the Secretary of State’s office so that they can advertise, collect checks, and open a bank account under their business’s name. If you’d like, we are happy to run a free DBA name search on your behalf!