The Idea Mechanic
Section 3 of 81 guide

Starting Up

The setup that turns an idea into a business, from the LLC to the bank account, for readers about to make it official.

A line drawing of an ignition key on a ring with a blank paper key tag tied to it
Fig. 1The key starts the engine, and the tag says whose it is. Registration, banking and insurance do both for a business.

Starting up is paperwork: the structure, the state filing, the bank account, the insurance. It costs less than it looks: an EIN from the IRS is free, and each state sets its own LLC filing fee, from tens of dollars to several hundred. Rules vary by state, so the IRS, the SBA and your state have the last word, and a lawyer or accountant the hard cases.

If you sell on your own and haven’t registered anything, you’re already a sole proprietor. LLC vs sole proprietorship covers what an LLC adds, what each costs to start and keep, and when forming one can wait.

Guides in this section 1

  1. 3-1

    LLC vs sole proprietorship: which a new business needs

    What an LLC protects and what it doesn’t, why the taxes are the same by default, what each costs to start and keep, and when forming one can wait.

    By 10 min read

In this section

  • Choosing a business structure
  • Forming an LLC
  • Registering a business name
  • Business bank accounts
  • Business insurance
  • Licenses and permits
  • Contracts and terms
  • Trademark basics
  • First website and domain
  • Business plans
  • Taking payments

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