Business License

[jellybeanmichelle]

For those of you with a business out of the home, How did you get your business license? I'm looking into getting one so that I can make cakes legally. I was watching the Foodnetwork and they said baking cakes or running a catering business from the home is illegal, and if caught-pay major fines.

[daisydoc]

As far as I know all you have to do is go to your town's city hall. they'll have the info and know the regulations/requirements that you'll need. for me working as an Independent Consultant for Cookie Lee, i don't have to have a business license b/c I technically work for Cookie Lee. Good luck Michelle! I hope things work out for you!!

[Lynette]

Yeah, you just go down to city hall and get a at home business license and in RP it is like $50 for a year and prorated by quarter so if you sign up now you only pay for half the year. One of stipulations of a at-home business though is that you can't have any customers come to your house. If you want to register your name so no one else uses it that is a whole other process.

Oooh....illegal cakes! How diabolical! LOL!

[LMS]

LOL. I need to get all my licenses and junk sorted out too, but photography is a whole different ballgame. You have to sign all kinds of papers saying you won't dispose of any photographic chemicals in an unsanitary way, etc... IM DIGITAL!
lol

[Lynette]

Oh that is dumb!

I do remember something about you didn't have to register your business name with the county if your name was in the business name.

[justamom]

When preparing food in any evironment, as a business you will not only need a business license but you will have to be certified by the Health Department. That runs, I believe, about $100. I could be wrong on the price. No matter if you do this business in the home or outside of the home the Health Department will have to inspect the preparation area. I looked into it at one point because I intend someday to sell my homemade chocolate & peanutbutter fudge locally & online. Some ladies used to buy it from me at work, it was quite popular!

On another note I have also obtained a tax id via IRS, for my biz. Some businesses reqire this to purchase wholesale.

Next I plan of filing a Fictitious business statement. I think that runs about $30-$35.

I also have obtained a sellers permit, which is FREE, but you just have to ensure that you file your taxes with them on the schedule you choose when applying. A seller's permit is usually necessary when doing craft/vendor fairs. I am not totally sure if it is required otherwise, but I think it is how you take care of your state taxes.

I think it is best to cover all your bases.

[LMS]

Just a tip, Michelle... if you have your surname in your business name you don't need a Fictitious Business Name Statement

[jellybeanmichelle]

Thank you for all the advice!
Now I know what I'm up against.
Not to mention the fact that I have to come up with policies/contracts and such. It's alot of work to open a business!

[justamom]

Do you have a fictitious name filed for your biz Jackie? I was told by the bank that if my business name did not have both my first and last name in it I would have to file a fictitiouse name statement. Otherwise I would not be able to open up a business checking account. 3 different banks told me that.

Just a tip, Michelle... if you have your surname in your business name you don't need a Fictitious Business Name Statement

[justamom]

Michelle,

Let me know what you find out about the health department.

Thank you for all the advice!
Now I know what I'm up against.
Not to mention the fact that I have to come up with policies/contracts and such. It's alot of work to open a business!

[LMS]

tina: nope. i was on the website for it today and it said all you need is your surname in the business name.


michelle: if you need help with contracts, let me know. I have a great set of contracts i recently purchased rights to that I can use to help you come up with your own.

[jellybeanmichelle]

I did some research. Here are some sites to check out:

For Fictitious Names:
http://www.sonoma-county.org/Clerk/HTML_Documents/FictitiousNames/FictitiousNames.htm

Info on home business: This site has alot of info in it!
http://www.sonoma-county.org/edb/regguide/homebus.htm

Food handling:
http://www.sonoma-county.org/health/eh/food_handler.htm

Catering:
http://www.sonoma-county.org/health/eh/catering.htm

[LMS]

awesome, thanks for the links michelle. I'll see if these are the ones I have and if they aren't, I'll post th eones I have bookmarked

[LMS]

The IRS steps to starting a business
http://www.irs.gov/businesses/small/article/0,,id=99336,00.html

To apply for an EIN
https://sa.www4.irs.gov/sa_vign/newFormSS4.do

[jellybeanmichelle]

Thanks Jackie!

[barb]

I know this is an old post, but I just got access to this area. :)

Cake Central (http://www.cakecentral.com) has a section for questions about starting your own baking business. From what I read, California is really difficult to get approved.

Good luck! :)

[jellybeanmichelle]

Thank you!

[becky]

I have been researching this for quite some time now. I had originally planned on getting my license before i moved here. A couple months back i looked into getting my business license in Santa Rosa. My CPA told me i can fly under the rydar until i make $2000 in profits. Until then I would just file under my SSN as sole pripretor (sp?) THe added bonus for me is that since I will be claiming a loss this year since I purchsed alot of upgrades and need to write off some of my computer, the loss will be taken off my husbands income before taxes which is a great bonus for us.

Unless you are going to open a checking account in your business name you dont need to file a fictious name. i currently just have a seperate checking account for just my business monies. If i end up staying in Santa Rosa after our lease is up in January then i plan on filing for my business license and get all my paper work in order. I know here in SR the first year there is an enrollment fee and the cost of the license. the year following there is just the min fee depending on profits.

Good Luck!