# Would I need a business licence? Need advice on starting my online busniess



## ArmoKing (Aug 28, 2012)

Hey guys!

I was searching the forums but couldn't quite find what I was looking for!

I want to get into the business of designing and printing T-Shirts and selling them online (ArmoTees.com) But I am kinda confused about Licensing. I Live in Florida, and I want this to be a side job. 

Would I still need Licenses? If so what kind?

Could I just use my SSN? 

What are the pro's and con's of using a EIN and SSN for a business?

Any Extra knowledge or Advice to pass down to a young Entrepreneur? 

Thank you in advance!!


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## sben763 (May 17, 2009)

This would depend on your states requirements. My location if your selling online outside the state you don't need a tax certificate. The IRS will let you use you SSN as long as your a sole proprietor. Best to seek advise from your state tax department.


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## missswissinc (Feb 21, 2012)

Here is what I would do.

1) incorporate yourself 
2) get a tax id for the business
3) seperate bank account for business
4) getting seperate insurance for the business 

I know it sounds like alot but you want to cover your back side. I would suggest incorporating yourself to show your a legit business. with a tax id some wholesalers won't talk to you unless you have 1. For taxes I would suggest get a seperate bank account for you business. You don't want to mix personal and business money together. When it comes to tax time you don't want to be sitting there saying well was that a deposit of my check or was that a sale that I deposited. I would suggest talking to your insurance agent about getting some sort of business insurance for yourself. this will cover you incase of theft, fire, water damage, etc of your stuff. you don't want to find out after something happening that the home owners insurance doesn't cover it. I wish you well


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## GordonM (May 21, 2012)

Many places you don't need a business license if you work for yourself only out of your home, and don't have customers coming to your house. While incorporating, getting insurance, an EIN, and all that are important, the most critical is that you need a tax resale license for your state, and you need to pay sales taxes on any orders sold within your state. (This is Mike's item #2.)

Resale licenses are free. Most states have convenient signup form online. At a minimum, you will need it when getting accounts with wholesalers. And of course, you use it to avoid paying taxes on items bought within your state that will be resold.


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## sben763 (May 17, 2009)

GordonM said:


> Resale licenses are free. Most states have convenient signup form online. At a minimum, you will need it when getting accounts with wholesalers. QUOTE]
> 
> Not in our state There is a fee but not bad but in some states it is very expensive for a resale licenses. Yes ther are states that are free also but very few


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## GordonM (May 21, 2012)

The OP said he was in Florida, and there online registration is free. I was also just pointing out that many states now have online signups, and it's not nearly as much of a hassle as it used to be. My first resale license took five weeks to get, and two in-person appointments.


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## Keysgeek (May 15, 2012)

I live in Florida and work from home, get the tax ID and incorporate yourself. Some counties require a occupational license. You really want to do this. If your running your business from you home and are legit it has huge tax benefits. You will probably be able to write off more on you taxes than you make at the business. I claim a percentage of my house for the business, so that percentage of my mortgage, electric, water, insurance and taxes become a business expense and saves on income tax... Its definitely a good idea to form the business. In Florida I think total cost will be about $150, then $150 a year for your annual report to the state. The benefits well cover the expense.


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## ArmoKing (Aug 28, 2012)

Thank you for everyone who responded! Much help!


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