Here is what you are missing out on
Not Registered your Business Name Yet? Here is What you are Missing Out?
Establishing a business is certainly a challenging yet rewarding venture. Anybody can start operating as a new organization and kick start their business. However, all that is required to remain in the business is to provide a quality service/set of services or products for the target markets or a specific industry sectors. Although registering the business name with the local or state Government is not necessary for completing business transactions, it is definitely a wise decision for an entrepreneur to get the business registered for numerous business-specific reasons.
Ensures Continuous Flow of Investments
Most of the times, while applying for business loans or while approaching other funding sources, a common question encountered by the organization seeking help is, ‘whether your business is appropriately registered’. Investors and lenders would want to see business registration related proofs along with various other application requirements, when they are approving your loan. In addition, if you are planning to apply for credit cards as a business, then the creditors will also ask for the registration paperwork of your business.
Successfully Create Business Bank Accounts
In order to open your business bank account you should provide a proper proof, which supports your business being appropriately registered with the local or state government. Having a business bank account is extremely important for any business. However, it is of greater importance to smaller businesses as it is necessary to separate personal transactions from the business transactions. This also helps you in making a more professional approach to your business clients and investors. In short, this serves as a business name for which your clients make the payments or investors make their investments.
Reputation with Your Customers
It is natural for your clients, customers or particularly those with whom you have never got a chance to work with before, to seek assurance about your business legitimacy. Every potential customer suspects your business to be a ‘fly-by-night’ scheme, if you have not got your business registered. After all when they are investing in you, they certainly have the right to evaluate their authenticity. Once your business is on the files with the state, it provides added peace of mind for all of your clients. This helps them in making better informed decisions about investing in your business.
Getting Your Business on Record
One of the biggest advantages of getting your business registered with the local and/or state government is that, it helps you in protecting your business name. Once you get your business name registered, nobody else can register their business with the same name. Just imagine the hassle if you do not get your business name registered. Another business of the same name might just open and begin offering inferior quality services. If this happens, customers might inevitably get confused between the two and then conclude that you are the one who is providing inferior quality services.
Protection Against Legal Liabilities
Getting your business registered will help you get some protection against legal liabilities. Once you incorporate, you will be protected from being personally held responsible for certain specific accidents as well as other liabilities. This makes it easier for you to attract investors and get your business insured, as they will know that you will not be personally responsible for the well-being of the company.
Enhanced Business Continuity
Business continuity is one of the major aspects, which you cannot afford to ignore. It is important for your business to continue even when you are unable to personally support it. This is exactly where registering your business name will help you. Once you get your business registered, it becomes an entity, which will have its own rights. Therefore, somebody else can control your business, assume ownership or even sell your business, if the situation demands. None of these can happen without a proper business registration.
Supplier Discounts and Arrangements
Registered businesses are generally eligible for supplier discounts, which non-registered operations do not receive. This is because in general, suppliers offer wholesale rates for those business owners who have all the required state-related official paperwork in place. In addition, if you are planning to try for some government contracts for your business, then business registration becomes one of the major criteria.
Hiring Good Talent
Having your business registered will allow you to find and hire talented employees for full time and pay them as per the state laws. This is because as soon as you get your business registered with the state, you will receive state identification number. This enables you to route all the state taxes on behalf of the employees. Therefore, if you plan to hire more staff for your business, then it is better to ensure that your business gets registered with the state, before you begin searching for new employees.
Thus, getting your business registered will help you in numerous ways to safeguard the business and also ensure business continuity. What more reasons do you want? Step up and get your business registered today.