Skip to Content

Struggling with the final steps!

9 replies [Last post]
dete
Offline
Joined: 12/31/1969

Man I was hoping to get all the business registeration
stuff finished with by this weekend, I 'm an artist Jim,
not a business person!

Here is what I have learned from my own research and
talking with you guys! Thank you for all the replies.
Not only are they helpful advice, but it's comforting to know
that your not totally alone.

OK,
1) it's good to have your game officially copyrighted,
the 30 some bucks is well worth it, even though don't expect
that it will protect your baby.

2) Poor man's copyright, the mail it to yourself thing
is creative but will probably be ignored at in court.

As far as the starting your own business stuff,
I'm still researching,

Seems like I don't need to register or do anything other than
just get me a Paypal account.

I'm not gonna be making tons of money, and as far as my
sales it's no different than selling stuff like through e-bay,
the thousands of peole on e-bay selling stuff are not
breaking the law right? or are they? hmmmmm..........

Rick-Holzgrafe
Rick-Holzgrafe's picture
Offline
Joined: 07/22/2008
Struggling with the final steps!

Quote:
As far as the starting your own business stuff,
I'm still researching,

Seems like I don't need to register or do anything other than
just get me a Paypal account.

You need to get a business license. This is a pain but is not hugely expensive. Do this, and you're on the right side of the law. Don't, and there's just that much more trouble if the IRS or the local equivalent come calling. I'd recommend just a DBA ("doing business as"), since your business is very small and doesn't involve any significant warehousing, manufacture, customer traffic, or liability.

Quote:
I'm not gonna be making tons of money, and as far as my
sales it's no different than selling stuff like through e-bay,
the thousands of peole on e-bay selling stuff are not
breaking the law right? or are they?

You are going to have to declare your income in your tax returns. If you don't, you're breaking the law. (Even waiters and waitresses have to declare their tips.)

A person who sells a chair they don't want anymore (on eBay or anywhere else) is supposed to declare the income; but if you don't, it's unlikely that that one small transaction will be noticed, or that the law will think it worthwhile to pester you about it even if they do notice. But if you go into business buying and selling chairs (on eBay or anywhere else) then you are running a business and you are asking to be audited.

My recommendation: do it right. Get a business license, declare your income. I did it 17 years ago for my spare-time software business, and I've had 17 years of peace of mind as a result. I'm clean, and any audit will show it.

dete
Offline
Joined: 12/31/1969
Struggling with the final steps!

thanx for the sound advice,
better to be too safe than sorry.
OK cool.

my business license is dba, I fall into sole proprietership.
my business type is arts and crafts.
So I need to get a State Tax ID and a Federal Tax ID right?

Rick-Holzgrafe
Rick-Holzgrafe's picture
Offline
Joined: 07/22/2008
Struggling with the final steps!

dete wrote:
my business license is dba, I fall into sole proprietership.
my business type is arts and crafts.
So I need to get a State Tax ID and a Federal Tax ID right?

Well, now we're getting away from my comfort zone. :) My wife handles the taxes for our home business. But my understanding is the following:

1. As a DBA, you're really still just a private person, not a corporation. Your company does not have to pay taxes. (You do, of course.)
2. The taxes you must pay are of two kinds: income tax, and sales tax.
3. The feds don't charge sales tax; that's reserved to the states.

I don't think you need a Federal Tax ID, because you are a very small, unincorporated business with no employees. Your business income taxes are just included with your personal federal and state income taxes. But I'm not an expert, so I recommend you do more research. Here's a good place to start:

Internal Revenue Service: Starting a Business

You definitely need to get in touch with your State Board of Equalization, or whatever they call it in your state -- the department of your state government that collects sales tax from businesses. Make them aware of your new business, explain to them (in quintuplicate, I don't doubt) what you'll be selling and how you'll be selling it. You'll have to file separate tax returns for sales tax, and if your state is, or is like, California, you'll have to do it quarterly.

(Currently I don't have to deal with sales tax in my business, because my goods are all delivered by "electronic transer", i.e. by download -- I deliver bits. California does not (yet) charge sales tax unless you deliver molecules. But I used to ship product on physical floppy disks, and at that time we had to do the whole sales tax thing. You don't need to know that; I just explained it because I think it's interesting!)

Also, when I said you only have to pay income and sales tax, I was leaving out the relatively picayune local stuff, such as renewing your business license every year.

I'm going to stop giving advice now, because I'm getting out of my depth. As I said, my wife handles this stuff for us, and anyway neither of us are lawyers, so you mustn't trust what I say absolutely. But I wish you all luck with your venture, and I'll bet you'll have a ton of fun with it!

dete
Offline
Joined: 12/31/1969
Struggling with the final steps!

thanx for your reply!

understand, we are both fish out of water, still thanx
for briefly joining me!

and for those who thought about getting your
small business started by paying a company that deals with that,

http://www.businessnameusa.com/

charges a mother load if you ask me, and they say that they
are very cheap. So can you imagine the other ones?
this is how much it costs for the to do the forms for ya.
In my state DBA is $99, Utah is $119,

Business License is $59

State Tax is $49

I'm gonna spend tomorrow trying to contact my city hall
or walk in there if necessary.

Anonymous
Struggling with the final steps!

set up an LLC in Delaware

This is relatively cheap and keeps your money seperate from your business moey. This also enable the ability if you developed the next monopoly to file a regulation D form which entitles you to raise capital through a shares sold for your company and private placement of your shares to other investors out of state. By filing this and a reg d you simply can file a sb2 form for small business and the other forms involved for public entity. A seasoned LLc with the proper reports filed could then become its own asset base and 2 years of filings puts it into a section where it builds its own credit file and you as the employee and the files could be taken to level of public company without having a ticker or market maker to promote the 504 allowing you to season a shell which is worth about 100K after 2 years with all reports filed and kept to date and no legal issues hence a equity position by only paper filings.

Look more into it as I am not a lawyer nor an investment banker as this is just my understanding.

dete
Offline
Joined: 12/31/1969
Struggling with the final steps!

wow you have totally succeded in going way over my head :)
Thanx for the reply but I'm gonna have to reread it several
hundred times to try and understand it.

really appreciate your input though.

I'm soo not use to this stuff!!

Anonymous
No problem I am lost too

hey I am inot the business aspect of things as I run my own company and in the works of taking it public so spent many countless hours researching and talking with attorneys and tax accountants and SEC representatives investors and other CEO's.

LoL

I have no idea for this game stuff though so maybe we can help each other out. I am looking to find an illustrator to do some decks of cards and a boxtop but the best quote I can get is 500 a card and 2500 if I supply the artwork to have it doen completely.

Contact me via email and we could exchange info to help each other out and maybe send some contacts for lowering costs benefiting both of us.

The business of LLc and such sounds more complicated than it is but a lot of filing papers but worth it in the 2 year time span.

dete
Offline
Joined: 12/31/1969
Re: No problem I am lost too

leadingedge wrote:
I have no idea for this game stuff though so maybe we can help each other out. I am looking to find an illustrator to do some decks of cards and a boxtop but the best quote I can get is 500 a card and 2500 if I supply the artwork to have it doen completely.

Thanx for your reply,
I think your talking to wrong guy about contacts and stuff.
I have no idea about all that either. I just like to design games.
And the games I make are done by me in every aspect so far.
I make the pieces, do the art, write the rules, story, everything.
And the quality is low. I've been to many many web sites
of other independent game makers and I see their home
manufactured board games and many of them is in WAY better quality.

If you don't mind crappy art work then I can help.

Anonymous
Struggling with the final steps!

Send me some artwork so I can see and be the judge as most talented people are too self critical.

As for the business end ofLLC and form 211's and 504's and regulation D's as well as private placement for a business aspect I have that info and the paths to follow for private investors and angel investors and speculative capital venturist groups and the patsh to go about doing such at about 200.00 for the forms and 1250 for the whole filing system with another company which puts you in charge of how much you need to raise for capital investment.

Syndicate content


forum | by Dr. Radut