Why is it important to have a business license

Business TaxImagine you have this idea that can really help others and make a difference in your community. Or you have a hobby that you are passionate about and want to take to the next level. Like many other new entrepreneurs, you find yourself at the cross roads on whether your idea stays an idea or becomes something bigger. If you take the leap of faith and decide to create something bigger, you now have a young business on your hands. Any new business owner would want to make sure that the business can be as successful as it can. One of the first things to do to ensure the health and protection of that business is securing a business license.

One of the reasons why it is so important to have a business license is to ensure that the financial health of the young company is in good standing. Vendors, contractors and most importantly the state and local governments need to know that your business is legitimate. By having a business license it tells the community that you are taking your business seriously. Additionally, having a license allows the owner of the business to file for a yearly tax return supporting the legitimacy of the business.

Another reason to secure a business license is so that you are protected in the event that business is under legal scrutiny. Hopefully this is something that all businesses get to avoid, however if it were to happen you would want the license to offer protection to show a separation of your personal assets. Additionally, if you avoid getting a business license there could be a fine from any of the forms of government that you may operate your business in.

At Andrews and Arbenz, we are a Tacoma attorney firm that can help you establish the business license that best suits your young company needs. We have been practicing business law for many years and have a wealth of knowledge to offer to new businesses. Furthermore, we are a business ourselves and we know what it is like to take the leap of faith and start a practice for ourselves. We will support you on your journey and provide you the advice you need to succeed. Check out our Business Law page to learn more.