I’m 21 and taking a huge risk to begin research and open my own boutique. I want to create an online store (first) to sell my refurbished furniture, wholesale books, and clothing. What do I need to know, legally speaking, to open an online business? Where is the best place to learn about online credit card processing? Also, will I need to file taxes on my business (will I have to fill out a schedule c form even if during the day I work as an employee for another job)? I’ve heard you don’t need sales tax if you don’t have a physical store front in a state or warehouse, is this true? Any help would be amazing! I’m scared but excited and want to make sure I’m doing this correctly. Is there anyone I should go talk to for advice (an HR rep, IRS, FL dept. of revenue, a lawyer, accountant)??????????
You’ve had some very bad advice thus far! Call the Chamber of Commerce and ask about their business mentoring programs. As a Florida resident, i can say that you do have to have a sales tax id number and charge sales tax if the person who purchases it is in Florida, out of state, you cannot charge sales tax.
You have to also have a business license to run one out of your home. You need to start by talking to the county and finding out what they demand you need. Each and every county is different. You have to pay to have your business license yearly as well as your sales tax license.
I do not have a store front and i have to have both. People in Florida are apt to purchase from you, and you’ll need the sales tax id.
Wouldn’t hurt for you to go to a book store and buy some books on how to run a personal business as well as how to run an online business. http://www.amazon.com/Starting-Business-Reference-Dummies-Computer/dp/0764599291/ref=sr_1_6?ie=UTF8&s=books&qid=1224454934&sr=8-6
Online business fail more than 90% of the time. Much of it is due to to many selling online. How will you truly get your name out there?
Refurbished furniture is also not a huge seller, if you refurbish antiques and do it incorrectly, you can make the piece worthless. Making an antique look new ruins it.
You’ll need to figure out which business plan is best suited to you. For me and mine, i chose an S class corp. You can work off a w-9 and your social security, but you’ll have to give out your social security to anyone who does business with you and asks for a w-9 form!
Find someone who runs a small business near to you and ask them what it takes. It’s harder to work for yourself than it to work for someone else.
What i learned is each county is a bit different and has their own rules. When we moved across the state to the west coast of florida i had to obide by different rules than i did on the east coast of florida. You will also have to learn how to pay yourself a wage and you cannot just take money out of the business account any time you feel like it. Each and every dollar has to be accounted for.
Starting a business is very difficult and most do not make it. Be prepared for that and do not sink every penny you have into it. Start smaller and work your way up! You’ll need to save back money as you’ll have to pay in at the end of the year as well.
good luck.
Speak wth your accountant because you have very ill conceived thinking about taxes. Yes you need a Sch. C.
Legally speaking means legal advice which is best gotten from an Atty in your area.
I do no mean this rudely in anyway but Boutiques online are a dime a dozen so ask yourself what you can do to make yours unique so that it will not disappear in the sea of other Boutiques on the internet/
Tried Ebay or some such?