There are many business aspects to remember for entrepreneurs forming an LLC in New York State, but avoiding some of the most common mistakes made by greenhorn businesses owners will provide a good start.
Forgetting to register a business with state and local jurisdictions or not filing appropriate paperwork to form an LLC or corporation can be a costly mistake, according to Investopedia.com.
"Not abiding by local and state ordinances can subject you to heavy fines, legal action or your business being shut down until it has met the requirements," the website states.
A second big mistake many new business owners make is not telling their day job about their plans. Many companies have employment agreements that forbid workers from engaging in similar industries during off-hours.
Additionally, choosing the wrong business name can be a fatal flaw. Not only do trademarks and copyright laws apply, but sometimes the right name makes marketing, advertising and even answering the phone easier.
Once a business grows and brings on new employees, one of the biggest mistakes a business owner can make is being a "pal" instead of a boss, according to Microsoft Business. Having clear policies and expectations will help avoid problems with employees.
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Posted: Sep 9th, 2010