The Best Way To Start a Small Business in Arizona

November 17th, 2020
Posted By
Shane Peterson

Starting a new business is exciting. But tending to the details, including all the necessary legal prerequisites, can feel overwhelming. Fortunately, there are many places to turn for guidance — but even choosing where to begin can be a perplexing task. If you’re looking for an overview of what it takes to start a small business in Arizona and a solid strategy to get underway, you’ve come to the right place.

Based in the East Valley, Peterson Law Offices helps clients start businesses of all sizes and types. Attorney Shane Peterson takes a broad-based, personalized approach to every business client. He makes certain that you start your new business on a solid foundation and also provides on-going assistance to help your business grow and prosper. Your first consultation is always free-of-charge and without obligation.

The discussion that follows, Shane provides an overview of the process of starting a new business in Arizona, along with suggestions for the best way to develop a strategy to get started on the right path.

Phase 1: Gather Information

The internet is a great resource for basic information about starting a small business in Arizona. However, it’s extremely important to exercise caution when you begin navigating through the endless website choices.

The State of Arizona and many local governments provide a wealth of free information for businesses. So does the federal Small Business Administration. Mixed in with the truly free information are commercial sites that ultimately charge for their services — and their fees can be substantial. Those sites sometimes even masquerade as free government-sponsored sites. You should not pay for anything until you have plotted out a reliable plan for establishing your business.

Turning to a trustworthy, knowledgeable Arizona business law attorney is the best way to start a small business and be certain you make all the right decisions. Your lawyer helps you navigate through the entire process and works with you to put the documents in place that establish the legal infrastructure for your business.

Legal advice is essential during the process of setting up a business. Just as you should never create a do-it-yourself Will or estate plan, you should never create a business relying solely on information that you find online. Taking the DIY approach creates significant risks. Mistakes can be financially very costly and difficult to resolve.

Phase 2: Determine the Legal & Tax Structure of Your Business

One of the first decisions you make is deciding on the best legal structure for your business. Your choice of entity type affects your liability for taxes, as well as your personal liability for business decisions. This decision is one of the most important choices you make when you start a business. When you consult with an experienced business lawyer in making this decision, you will understand the advantages and disadvantages of each option that is available before you make the choice.

If you decide on forming an LLC (Limited Liability Company), which is one of the most popular and common entity type for small businesses, you also need to make a choice about the tax status of your LLC. The financial implications of this choice can be considerable. Talking with a knowledgeable business law attorney ensures that you make the right choice.

The process of choosing the legal structure for your business includes determining the name of your business, checking on availability of the name, and taking the steps to secure the name. Choosing and protecting the name of your business is an extremely important part of establishing your company.

Phase 3: Complete All the Necessary Formalities

After you decide on the legal structure for your business, you need to put proper documentation in place to create the business. The documents must meet specific legal requirements. They are detailed and complex and are different for each type of legal structure.

When your documentation is in place, you are ready to set up your business by completing all the necessary public filings and notifications. Additional filings may be necessary to meet tax and business licensing requirements, depending on the nature of your business. Your attorney navigates through the entire process with you.

Phase 4: Look to the Future

When all the formalities are in place, it’s time to get to work. At this point, your attorney makes sure that you know how to implement the chosen structure of your business, so you continue to comply with legal requirements going forward.

As your business gets underway, you should count on your lawyer to help with day-to-day and longer-term operations and goals. To protect your investment of time and money, you should rely on legal counsel for assistance with business concerns like contracts, employment matters, and regulatory and compliance requirements. You also should make certain that you put a business succession plan in place to address the future of the business.

Additional Information for Arizona Small Businesses

Our blog includes many articles that address questions and concerns of our small business clients. If you’re considering starting a new business or have an established company, here are some articles that may interest you:

Schedule a Free Consultation With a Trusted East Valley Attorney About Starting Your Small Business in Arizona

At Peterson Law Offices, we provide top quality business law services at affordable prices. Attorney Shane Peterson helps clients start new businesses and also assists with day-to-day legal matters and long-term goals of established companies.

We welcome inquiries from clients throughout the East Valley, including Queen Creek, San Tan Valley, Gilbert, Mesa, and Chandler. Schedule your free initial consultation by calling 480-878-5998 or using our online contact form.

Categories: Business Planning