Do you operate your business from your home? If you run an online business, it’s likely. As such, you may be eligible for certain tax deductions. You’ll additionally be required to pay income tax, so before setting up your online business, it may be a good idea to consult with a lawyer and make sure that you’re all covered going forward.
Make sure you’re familiar with your state sales tax requirements, but also your online sales tax obligations. One of the best things you can do is make sure that your shopping cart solution is configured properly so that it automatically collects the right amount of sales tax depending on your customers’ location.
Maintaining your online business
Ultimately, starting an online business Startup is similar to starting a business with a physical storefront. You’ll still need to validate your idea, do business planning and you’ll benefit from making sure you understand your tax obligations from the start. Just don’t underestimate the importance of putting together a functional website and getting it in front of your target market.
If you need some inspiration when working on your own business plan, you may want to check out some of our online store sample plans. You can even download a free business plan template to fill out as you work through some of the business plan examples.
If you’d like more assistance, you might want to check out our business plan template available through our software, LivePlan. You can also check out LivePlan’s business plan consulting, which will give you a professional business plan written by an MBA in five business days
