With 138 of the nation’s fastest-growing private sector companies being from Maryland, Old Line State ranks third among all U.S. states for Inc. 5000 companies in the percentage of total companies on the list. Moreover, with being ranked 7th in the nation for startup early survival rate, starting a business operation in Maryland is an excellent choice for entrepreneurs.
However, while “we’re open for business” is the standard greeting you’ll notice on Maryland welcome signs across the state, what does it really take to start a company in Maryland? After all, it’s certainly a bit more complicated than just hanging up a welcome sign, opening the front door, and counting the profits.
Thankfully, you’ve found the right article. In this brief piece, we’ll give you a quick rundown of the most important tips you should know when deciding to open a business in Little America to get on the fast track to personal independence and financial success.
Find The Right Business Idea
The most important step towards enjoying successful business ownership is to decide what kind of business you’d like to start in Maryland. And to find the right business idea for you, always look into ideas that suit your interests, personal goals, and natural abilities. This vital piece of the equation will help you stay motivated and hungry when the going gets tough and significantly improve your chances of success.
Whether you’re looking to start a grocery store, security guard company, or something bigger like setting up a software company in Baltimore or Rockville, make sure that the business is your passion and something you’ll gladly pursue, at least in the next couple of years.
Plan Your Business Accordingly
All successful businesses are built through thoughtful planning. For that reason, before committing a significant amount of money and other resources toward your new company in Maryland, analyze your idea, and create a game plan. At a bare minimum, you should complete the following:
- Name your business. When selecting a name for your company and business, it’s wise to go with a name that follows Maryland’s naming rules and, of course, resonates with your clientele.
- Find a proper location. Do you have an idea of where your business will be located in Maryland? Regardless of the type of business, your business location is essential for licensing, permits, and determines your business’s growth potential.
- Write a business plan. Last but not least, crafting a well-thought business plan will help you get organized, help you get your funding, and reach important milestones.
Get Insured
Furthermore, business insurance helps you handle risks and lets you focus on growing your business. The three most common types of business insurance you should strongly consider include general liability insurance, professional liability insurance, and workers compensation insurance.
If you’re starting a small business, we recommend purchasing general liability insurance. On the other hand, if you’re starting a professional service, like an accounting or consulting firm, we also recommend that you consider obtaining a professional liability policy.
Finally, in Maryland, companies with one or more employees, including corporate officers and LLC members, are required by law to obtain Maryland workers compensation insurance, so make sure that you get the types of insurance you need for your new business.
Obtain All Permits And Licenses You’ll Need
To operate your business legally, you’ll also need to ensure that you comply with federal, state, and local government rules and regulations. This involves getting one or more licenses and business permits in many cases. For instance, opening up a restaurant means that you’ll need to obtain health permits, building permits, signage permits, etc.
Depending on the type of business you’re operating, you’ll need different licenses and permits to start a new business operation in Maryland. To acknowledge what you’ll need to obtain, you should perform a business license search by utilizing the following resources:
- On a federal level, use the US small business administration guide;
- On a state level, check out the Maryland OneStop Portal page;
- Check with your county clerk and ask about permits and licenses on a local level.
Hire The Right Staff
Building a strong team by hiring the right staff members is a crucial step in beginning a successful business. Nevertheless, this isn’t only about finding the right members but ensuring that you’re compliant with the requirements for hiring workers legally. That includes providing that you’re registered with the IRS for employee taxes and reporting new hires to the State of Maryland.
Final Words
Starting a business in Maryland can prove to be e daunting task. Nevertheless, the rewards are valuable and worthwhile once the company begins raping monetary benefits. The process of starting a business in Maryland can be seamlessly executed by following the tips above, backed by research, and supported by a solid business plan.