How to Set up a Sole Proprietorship in Ohio

Step-by-Step Guide

1. 1

   Step 1: Designate a name for your business.

   After you have decided on a business name, you must verify that the name is available for you to use.
   
   Visit the United States Patent and Trademark website featured in the Sources section of this article or call them at 1-800-786-9199 to see if your business name is available.
   
   You can also visit the Ohio Secretary of State website listed in the Sources section of this article or call the office at 1-877-767-6446 to search for the availability of your chosen business name.
2. 2

   Step 2: Register the name of your business with the state of Ohio by filling out Form 534A from the Ohio Secretary of State.

   Visit the Ohio Secretary of State website listed in the Sources section of this article to download a copy of the form or call the office at 1-877-767-6446 to find the nearest office location.
   
   The filing fee is 50 dollars and must be in the form of a check or money order made payable to "Secretary of State." On the form, provide your full legal name, the business name you are registering, the address of your business, and your signature.
   
   Send the form with your check or money order to P.O.
   
   Box 670, Columbus, OH
   43216.
   
   If you want to expedite the filing process, the fee will be 51 dollars, and the form should be sent instead to P.O.
   
   Box 1390, Columbus, OH
   43216.
   
   You will be notified by mail from the Secretary of State when your business name has been officially registered. , Visit the Ohio.gov website featured in the Sources section of this article and click on the "Licenses and Permits" link to verify if you need any additional business licenses.
   
   For example, if you are opening a restaurant that serves liquor, you will be required to obtain permits and licenses that allow you to legally serve liquor.
   
   You may also call the Ohio Business Gateway office at 1-866-644-6468 to verify business license information. , You are not required to obtain workers compensation coverage as a sole proprietor in the state of Ohio.
   
   Visit the Ohio Bureau of Workers Compensation website featured in the Sources section of this article to complete the application or call 1-800-644-6292 to find the nearest office location. , The sales taxes you pay and the business information you provide when filing taxes will vary depending on the type of business you have.
   
   For example, if you have a restaurant that serves liquor, you may be required to provide supplier information or other data related to selling liquor.
   
   Call 1-888-405-4089 to register your business by telephone or visit the Ohio Business Gateway website listed in the Sources section of this article to register electronically over the Internet. , You are only required to obtain an EIN if you hire employees; however, you may also get an EIN without having any employees if you want to use an EIN in place of your Social Security Number when you file taxes or open bank accounts.
   
   Visit the IRS website featured in the Sources section of this article to apply for an EIN online or call the IRS directly at 1-800-829-4933 to find an IRS office location near you. , Visit the Ohio New Hire Reporting Center website featured in the Sources section of this article to report any new employees you have hired or contact the office at 1-888-872-1490.
   
   You will need to provide your employee's full legal name, their Social Security Number, their mailing address, and their hire date. , This procedure will allow you to keep track of business expenses and will separate your personal bank account from your business.
   
   You must bring documentation that displays your business name as verified by the Ohio Secretary of State or a business license that displays your full legal name, and the name of your business.
3. 3

   Step 3: Contact the Ohio Business Gateway organization to determine which business licenses you are required to have.

4. 4

   Step 4: Obtain workers compensation coverage if you want to protect your business from any possible liabilities.

5. 5

   Step 5: Register your business with the Ohio Department of Taxation for sales taxation purposes.

6. 6

   Step 6: Apply for an Employment Identification Number (EIN) with the IRS.

7. 7

   Step 7: Inform the IRS and the State of Ohio of any new employees that you hire for your business.

8. 8

   Step 8: Open a bank account for your business using your EIN number.

Detailed Guide

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