Top Tips with Maxwell's video: 5 Easy Steps To Legitimize Your Side Business

1. Form an LLC. The most important step in turning your side hustle into a legitimate business is to form an LLC. This designates your business as a separate legal entity, which separates your personal assets from your business assets. In the US, you can file an LLC online via your state’s Secretary of State website. For example, in the state of Georgia, you would go to: https://ecorp.sos.ga.gov/, create an account, and file from there. You can also use a service such as http://legalzoom.com that can take care of it for you, however be aware that they will try to sell you things that you don’t need or don’t have to pay for (for example, they’ll charge you $80 to get a Tax ID/EIN, but I show you how to get it for free in step 2.) 2. Generate a Tax ID number. Next, you’ll need a Tax ID number - essentially a social security number for your business. In the US, you can do this for free at https://www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online 3. Purchase a business license in your city or county. Visit your local city or county government website to purchase a business license. This business license division likely has offices at your local courthouse. 4. Open a business bank account. Take your LLC paperwork, your business license, tax ID number, and your personal identification documents to a reputable bank nearby to create a business account. It’s best to find one with special benefits and incentives for small business owners. Some banks charge fees for an account (sometimes $25 or more), others waive fees as long as you maintain a certain balance (usually $5K or more), but the best ones give it to you for free. 5. Purchase liability insurance. Lastly, purchase appropriate liability insurance. Yes, you need insurance - This will protect you when things do go as planned and someone takes legal action against your company. Example insurance company: https://nextinsurance.com/ Additional Resources: Simple online invoicing, accounting, and credit card payment processing: http://freshbooks.com/ Easily hire employees and have all the paperwork and payroll handled for you: http://gusto.com/ Get your business listed on Google: http://google.com/business Purchase a domain and set up a website: http://wix.com/, http://squarespace.com/, or http://godaddy.com/ Hire a graphic designer to make a logo: http://upwork.com/ Print business cards: http://vistaprint.com/ This video an accompanying description is for educational purposes only. This is not legal or tax advice.