Here is a 10 Step Guide on Starting a Small Business in Massachusetts in the United States of America
A major economy in the country, Massachusetts is famous for its manufacturing, tourism, and education. Tourism is an important part of the state’s economy. Massachusetts has a flourishing financial system with major sectors like higher education, biotechnology, information technology, finance, health care, and tourism.
Massachusetts has been now ranked as the second most innovative state in the United States for the second time in a row by Bloomberg. New businesses have grown out of successful sectors like tourism, information technology, and finance. Here’s a complete guide on how you can start a successful business in Massachusetts.
Follow the given steps to legally start a business in Massachusetts.
Step 1. Choose a Business
List of Top Small Business Ideas to Start in Massachusetts from Home
Customized Tour Services
Tourism is a major contributor to the state’s economy. You can offer customizable tours and services to visitors as a tour guide. You require very little investment to start this business.
Digital Marketing Agency
Organizations now depend more on digital advertising. Online campaigns now help companies generate more leads than traditional advertising. If you have the necessary experience, consider starting a digital advertising agency in Massachusetts.
If you are looking forward to some good extra money in a legitimate way without any investment, online survey jobs are just perfect. Check out this list of top online survey sites providing survey jobs with good income opportunity.
Berry Farming & Export
Massachusetts is the second largest state to produce cranberries. You can grow cranberries in a small farm them and export them it to other states.
Business Consulting Firm
Thousands of new businesses are failing every year to poor execution. You can offer consulting services to new business on how to have a right start with the proper resources.
Bed & Breakfast Business
Boston, Cape Cod, Salem, Plymouth, and Berkshires are the leading tourist destinations in Massachusetts. You can offer a bed and breakfast service to tourists who look for an alternative to hotels and motels.
Starting a food truck is a low investment business option, the food truck has a huge potential in a state like Massachusetts. All you need is an old truck, a few types of equipment and a license to kickstart your business.
Content Marketing Agency
With internet taking over traditional marketing, creative content will help companies survive. You will offer content which can be promoted directly.
Life Coaching Business
If you are good at communicating with people, this business is for you. You can help people make changes and adopt new things in their lives.
The state is home to thousands of small and growing businesses. You can start an agency to offer advertising services to such a potential market.
A popular tourist attraction, Massachusetts is now the sixth-most visited tourist destination for foreign travelers. These travelers often need different travel-related services like ticketing, booking, currency exchange and more.
A great option for freelancers, copywriting services pay you well. You can work online with different clients at the same time.
Companies now look for individuals who can work virtually than being at the office. You can work online as a virtual assistant for a specific time frame and fixed hours.
Step 2. Writing A Business Plan
A good business plan can prove to be an important element of a successful business. A detailed business plan will help you to create a roadmap and how you want your business to run.
Step 3. Financing Your Business
Massachusetts has a lot of investors and venture capital firms. You can pitch your idea for an investor funding or choose to go for crowdfunding. There are even different business loans available at attractive payback rates.
Step 4. Choosing A Business Structure
You have to choose a business structure to be legally operational in Massachusetts. You can choose between a sole proprietorship, partnership, corporation, and an LLC. Forming an LLC will offer you added legal benefits and tax deductions.
Step 5. Naming Business
LLCs need a name at the time of filing. Choose a name and register it with the US trademark department. Also, make sure you soon buy a domain for your business with the same name.
Step 6. Federal EIN & Tax Filing
Now you will have to apply for a Federal EIN to eligible for taxes. The EIN is a nine-digit tax identification number you need to acquire from the Internal Revenue Service (IRS). The EIN is a social security number for a business. EIN also legally allows you to hire an employee for your business.
Step 7. Business Licenses & Permits
To sell products Massachusetts, you need to register for a Sales and Use Tax Registration Certificate (Form ST-1) with the Department of Revenue. Also, retail products are taxable within Massachusetts, while services are generally not taxable. All the licensing requirements for selling of services are available from the state of Massachusetts Division of Licensure.
Step 8. Business Bank Account & Bookkeeping
With EIN, you can apply for a business bank account. A separate account will help you to keep all your financials separately. Get a good accounting software for your business that will help you to maintain all your transactions at one place.
Step 9. Business Insurance
To sell services in Massachusetts, you will need a professional liability policy. Whereas to hire an employee, you must get a worker’s compensation insurance.
Step 10. Promoting Your Business
You need to reach out to your potential customers. Social media will help you to promote your business initially, but you will soon have to take help of other methods to promote your new business.
Best Places To Start A Business In Massachusetts
Choosing the right location is going to determine how your business runs. Here are some of the best places in Massachusetts to start your business:
This is a complete hands-on guide on how to start a successful business in Massachusetts from home with a minimal investment.