Starting a business in Minnesota does not have to be difficult. However, you should take care to do everything correctly. The right business model and legal structure should protect you from liability. Conversely, inappropriate structures could have the opposite effect.
Of course, one of the first things you would want to do is establish a sound business plan. This article will assume that you already have your plan worked out and you are ready to move on to making everything official.
One of the first things you would need to do when establishing a new business is choose what type of business you would need. Certain types of regulated industries may require you to perform additional filings. Some good examples might be insurance and finance.
As explained on the website of the Office of the Minnesota Secretary of State, you may also consider doing business under an assumed name. People choose to operate in this way for variety of reasons, such as protecting their personal privacy and establishing a brand for their company.
One of the finer points of business formation is that doing-business-as names typically do not provide as robust of legal protections as forming an entirely new corporation. Even though you would be doing business under a different name as a sole proprietor your general partnership, you could still be personally liable for losses your business incurs.
If you choose to incorporate, then you may need specific articles of incorporation. These are the documents that state the composition and the legal powers of your company. By default, your new corporation could engage in any lawful act.
The right formation strategy is often a key factor to growing as a start-up business. That is one reason why it would be important to get specific legal advice. This article is only intended as general information. Please do not use it to make decisions regarding any real scenario.
