Qualifications and Insurance You Need When Starting a New Business
Starting a new business is a big deal, and there is so much you need to think about and prepare. Before you get too excited about what color your new office will be, however, you need to focus on the important things. Mainly, the barriers that are going to prevent you from even acquiring a business license in your state.
From the insurance you need to the qualifications, follow this guide to make sure your business is up to date with all the legal requirements before you launch:
The Different Requirements by State
Every state will have its list of qualifications, certifications, and insurance you will need before you can even operate as a business. These will change still depending on the type of work you are carrying out. Contractors, for example, will have a greater emphasis on ensuring the health and safety of their workers and the quality of their work.
When starting a new business, it is key to know what your state requires by law and how much it will cost so that you can budget that right in from the start. There won’t be any hidden costs or fees if you are prepared for them in advance.
The States that Carry Penalties
In some cases, not having the right insurance or qualifications can even elicit a fine. The states in the USA that sentence these fines (and even jail time) for not having something essential like worker’s compensation insurance include:
- New York
Understanding Coverage and Your Business
The best way to cover all your bases is to look for a single-solution insurance plan. A contractor, for example, could be looking at getting insurance individually for:
- general liability insurance
- professional liability insurance
- builders risk insurance
- auto insurance
- pollution insurance
- roofer’s insurance
- worker’s compensation insurance
- and more
You’re busy, you have a lot of work to do in designing and starting a new business, and now suddenly you need to investigate a million and a half different types of insurance policies. Thankfully there are combined solutions.
Rather than look for all types of insurance individually, simply opt for contractors insurance that bundles together everything you need for your business. Customized for you, it means you can save money and a splitting headache trying to organize everything individually.
How to Stay Up to Date with Legal Changes
Unfortunately, laws change every year, which is why if you don’t have the time or means to stay on top of these changes it is wise to look into outsourcing to a business advisor once a year or even once a quarter to ensure everything in your company is still up to date. The reason why you will want to look for an all-in-one solution that specializes in your industry is that you will need to stay up to date with:
- compliance changes
- legal changes
- tax changes
Those four are the minimum as well. The law doesn’t care if you were not aware of the changes, because you will be penalized for them anyway. Rely on the expertise of accountants, business advisors, lawyers, or anyone else that knows the upcoming legal requirements for operating a business in your industry to stay operating in your industry.
Categories: Outside Contributors