So what am I talking about when I speak about your foundation. No, I am not referring to the foundation underneath your home. But I am talking about the foundation of your new entity and/or company. You see the last couple of posts have been for the specific purpose of getting you to start in simple yet key steps in producing other sources of income.
The purpose of the Acorns.com $5 challenge, is to get you to start saving. Savings are key to getting out of the 9-5 struggle. Best of it all it meets one of my main categories when looking for additional sources of income… Is AUTOMATED! So all you have to do is, open the account, set your savings preference and that’s it. Acorn’s team will do the rest. While you sit back and see your hard earn $$$ grow AUTOMATICALLY.
The other benefit is, you have the chance to make an additional $150 for every family and friends you refer to Acorns.com and they open an account, just like I am doing now. So not only are you getting started in a new saving habit, but you can also make $150, to get you started.
The purpose of the $500 challenge, is to get you started with building credit. Another key item to building your new business and having the power to invest in real estate later on as you grow as an entrepreneur, self-employed and/or SmallBiz. Also it will help get your hands on some quick capital, which eventually can assist in getting you to quit the rat race, and into your own business. I will show you in future posts, more details on how to use your credit to invest in real estate and have it pay for the balance, while you grow cash-flow and equity.
But before you jump into it, let’s get your foundation ready. And what I mean with that is forming or creating the way you will do business. This could vary and I advise you to do your research. But for the most part, it is very simple. You can choose from the following entity types:
Establishing your business is key for everything else we will learn on future posts. It will also provide you with tax benefits only businesses get to have, that normal people don’t. As well as allow you to open a business bank account and credit under the business as well. So you can start the daily routines of business and start implementing them in your daily life. Like paying your self a salary, once you start making income.
Setting up your business entity is simple. You can do a search online for The Division of Corporations of your state. Once you find the site, look for the links labeled Filing Services. Usually, they will provide a brief description and information on all documents and information that you will require as well as the fees associated with your registration.
Another way is by paying an online service like the ones I have provided below. These types of companies specialize in business registration and provide additional services like trademarks, corporate registered agents services, and so much more.
Another great benefit of using the companies above, once the registration is complete, you should receive a nice company package, which usually depending on the package you selected upon registrations, a company seal, company certificates, and so much more. Which makes your business look and feel more professional.
Once your new entity is set up with your state, you will need to get a Social Security Number for your new entity or business. This is called an Employer Identification Number or EIN. You need this to open bank accounts and establish credit. Once again I advise you to do your research prior to registration, so you can get familiar with the questions and options you will need to pick for your new entity.
So before you register your business, here are a few things to get you ready:
1- Think of a Name
2- Think of an Industry or Niche
2- Think of a Mission
3 – Think of Goals
4- Think of a Logo and Brand
5- Entity Type
6- Entity Tax Type
The more time you spend on each now, the less you will change them later!
So what will your new business name be?