Home-Based Business Information
Before you invest your time, effort and money, take a few moments to answer the following questions. They'll help separate sound ideas from those with a high potential for failure. Do you have the space for a business? Can you identify and describe the business you plan on establishing? Can you identify your business' product or service? Is there a demand for your product or service? What advantages do you have over your competitors? Do you have the talent and expertise needed to compete successfully? Can you successfully run the business from your home?
A home-based business is subject to many of the same laws and regulations affecting other businesses. Here are some general areas to watch for, but be sure to consult an attorney if licensing is required.
* Be aware of local zoning regulations. If your business operates in violation of them, you could be fined or closed down.
* Be sure to check with your City, Township or County Clerk's office for any regulations or permits they may require.
In addition, there are registration and accounting requirements to consider. Among them are:
* If a license is required for your type of business, contact the appropriate agency to learn how to apply and licensing requirements. Your business's name also needs to be registered with your County Clerk's office or incorporated through the Department of Licensing and Regulatory Affairs.
* You must register for Michigan taxes from the Department of Treasury at (517) 636-4660.
* A separate business telephone and bank account normally are required.
And, if you have employees, you are responsible for:
* Withholding income and social security taxes.
* Complying with minimum wage and employee health and safety laws.
How to Get More Information
Make it your business to know what business information is available, where to get it and, most importantly, how to use it. Sources of information include:
* U.S. Small Business Administration District Offices (313) 226-6075
* Small Business Development Centers (SBDC's)(877) 873-4567
* Service Corps of Retired Executives (SCORE) (800) 634-0245