It’s not too early to start planning for the holiday sales season. The fourth quarter is always the best for personalized books. One good way to market your books and your business is to align your business with a charity. You can pick a charity that benefits children, for example, and see if they will let you mention them in your marketing pieces. Make an arrangement with them that x percent of your sales will go to their charity. There will likely be some charity events for the public and you may be able to sell your books at them. You’ll be helping a worthwhile charity and your business will benefit from the extra exposure.
Archive for June, 2010
We often are asked about how one goes about setting up a small business. The first thing we tell people is to check out the laws governing businesses with their state and local governments. For a home-based business you may not need a business license, but it’s a good idea to check with the authorities. One thing you likely will need is a resale license. As a reseller, you will buy your inventory tax-free and you will charge your customers sales tax when they purchase your personalized children’s books or any other items they buy from you. Then, either quarterly or annually, you will be required to file a return and to pay the sales tax you collected to the taxing authority. Some states don’t require a license — just a signed statement of intent to resell goods. Again, you will need to check locally to see what is required.
If you operate your business as a sole proprietor you won’t have to file a separate income tax return for your business. Instead, you can report your income on Schedule C of your individual tax return. Of course, if you incorporate or operate as an LLC, you will be required to file a separate return for your business.
If you use any name other than your own for your business, you’ll need to set up a DBA (Doing Business As), also called a Fictitious Name. This is usually done with your county clerk’s office.