How do I register a business?

"Registering a business" isn't a single action — it's a checklist of filings at the federal, state, and sometimes local level. The SBA's launch guide walks through each layer. How much work is involved depends primarily on your entity type: a sole proprietor doing business under their own legal name has almost no registration requirements, while forming a corporation or LLC requires state-level paperwork before you can operate under that structure.

Step 1 — Choose and form your entity

If you're forming an LLC or corporation, file Articles of Organization (LLC) or Articles of Incorporation (corporation) with your state's Secretary of State office. Most states process filings online. Fees typically run $50–$500 depending on the state. The SBA's entity-type guide can help you choose. Sole proprietors operating under their own name generally skip this step.

Step 2 — Get your EIN from the IRS

An Employer Identification Number (EIN) is your business's federal tax ID. You'll need it to open a business bank account, hire employees, and apply for financing. The IRS online EIN application is free and issues your number immediately. Apply during IRS business hours (Mon–Fri, 7 a.m.–10 p.m. ET).

Step 3 — Register for state and local taxes

Depending on your state and business type, you may need to register with your state's Department of Revenue for sales tax collection, employer withholding, or other state-level taxes. Some states have no income tax; others require separate registrations for each tax type. Your state's Secretary of State or Department of Revenue website is the authoritative source.

Step 4 — Obtain licenses and permits

• Federal licenses: required for regulated industries (agriculture, broadcasting, alcohol, firearms, transportation). Check the SBA's federal license guide.
• State licenses: a general business license is required in most states; some professions require occupational licenses.
• Local permits: city or county permits for signage, zoning, home-based businesses, or food service.
• The SBA's Business License & Permits tool (sba.gov) can point you to requirements by state and industry.

Step 5 — Open a business bank account

Once your EIN is in hand and your entity is formed, open a dedicated business checking account. This is essential for separating personal and business finances — a requirement for maintaining LLC liability protection and a prerequisite for most business lenders. ClearValue Banking's business banking guide covers what to weigh when picking an account — monthly fees, minimum balance requirements, and transaction limits. When your business is established and generating revenue, apply with ClearValue Lending to explore financing options. One application routes to the funding partners best matched to it. Consult a business attorney or CPA if you're unsure which registrations apply to your specific situation.