How To Start A Small Business In Florida
When you set off to start a business in Florida, you should never be hasty. You should thoroughly go through your various business ideas before you choose the right one. Bounce ideas off your friends or family. Do research and make sure you’re getting honest feedback from others before you settle in on your big idea. Once you pick a direction, think of a good name for your business. Stuck on a name? Try Shopifys business name generator!
Now that you have a name, it’s time to write a business plan. But that’s not all, you also need to conduct market research, figure out how to finance your business, explore funding options, get the legal procurement and business registration and lastly setup the federal employer identification number and company bank accounts as well. Don’t get overwhelmed. Take it slow and one step at a time!
Since we are talking about starting a business in Florida, the best business fields to look into in Florida are food, healthcare and social assistance, technical services, scientific, professional, business, telecom, retail, construction, to name a few. Moreover, the best cities to start your business in Florida are Miami, Naples, Orlando, Tampa, Jacksonville, Tallahassee and Florida City.
Starting a business in Florida also requires you to go through several certain procedures. More on that below.
Setting up Your Small Business in Florida Step by Step
- The first step to set up your business in Florida is to choose a business structure such as DBA or LLC or entity type.
- The next step is to register your company there. (Register the business with the state).
- Then, register your business with the DBA.
- Furthermore, it is also important to set up your business to pay taxes.
- Obtain a business license, if necessary.
- Open a business bank account.
- Pick a location.
- Fund your business and you are good to go.
Benefits of Starting a Small Business in Florida
One of the major reasons why you need to start a small business in Florida is because of the tax advantage the state offers to small businesses than other states. Moreover, there is also access to many start up hubs and others in Florida which many other states fail to give. Florida presents excellent business opportunities to grow your business or company than any other.
Some of the many benefits of starting a small business in Florida are:
Florida is a very well-known tourist spot in America. It also contributes well to the U.S. economy. Starting up your business in Florida gives you creative freedom because there is a lot going on in the state always. Florida also has a nicely selected transportation system which includes ground, train and air shipping. There are many other facilities in Florida which allow investors to invest and set up their businesses easily. Florida also has a very high quality data transmission system from US to Africa and even South America. Business owners can, therefore, establish a business with many advantages such as high traffic, commission and transmission.
No Minimum Capital Requirements
Most states in the United States require a corporation with at least $1,000 as capital. However, in Florida, there is no minimum capital requirement which allows you to set up your business in the state easily. Not a bad incentive!
Access To Capital Is High
Another one of the major benefits of starting a small business in Florida is that there is access to capital. Florida has easy access to capital which makes the process of starting up a business much simple for budding entrepreneurs and business owners. Florida has a lot to offer to investment capitalists and for entrepreneurs who are looking to start their business.
Tourism and Immigration
Florida has many interesting vacation seasons that can favor business owners. It is well known that there are consistent flows of tourists coming into the state which presents opportunities for business owners to increase their revenues. It also gives them an opportunity for growth and expansion. Not only tourism, but immigration is high in the state. Which means there are a lot of opportunities to serve this demographic as well.
The Low Tax Burden Florida
Yet another positive, Florida has a low tax burden. Among the lowest in the nation. There is also no personal income tax as such to pay. Furthermore, the corporations in Florida have the benefit of paying only 5.5% on their corporate income tax return.
Funding A Business In Florida
The final process of setting up your business in Florida is to decide how to fund it.
If you are looking to start your business in the Sunshine State, you can fund it through grants that are offered by the government or other entities available to startups and maybe even open up funding from other businesses that would like to invest in your venture. Famous grants in Florida are the Florida High Tech Corridor Grant, Small Business Research Grants. Federal Minority Business Grants, Enterprise Florida Grants, Prospera Small Business Grants, Amber Grant and many others. You can research all of the different grants in Florida here.
Furthermore, there are other ways of funding your business in Florida as well. These include taking a traditional loan through banks, selling gold to finance your business or to simply save up capital till you can do it on your own. Also another option that is popular to fund a business in Florida is by partnering with a client/friend and start small. That way you can work together slowly and share the burden of being a start up together.
Moving on, a few other options you have to fund your business is through bootstrapping, angel investors, cloud funding, venture capital or crowd funding. Read more about what is capital funding to have a better understanding of what these options are.
Conclusion: Florida Is an Excellent State to Open and Run a Business.
Setting up a small business in Florida has many perks. Being a state that is known for freedom of choice, lower taxes, and a booming economy is a great attraction to business owners. Just drive around South Florida and count the construction sites and cranes in the air, and you’ll see what I mean.
Sure it can be tough starting out. However, once you have made up your mind and understood the procedures you can then go ahead with the decision of establishing your business in the great state of Florida. If you’re still having trouble getting started, look no further than legal zoom for a little extra support with the process. MJ Capital Funding calls Florida its home. We love being headquartered in Florida. If you have any questions, just give us a call. Good luck with your new venture!