Intro to Sole Proprietorship
A sole proprietorship refers to an unincorporated business with a single owner. This is the simplest possible structure to set up a business. While there can only be one owner, a sole proprietorship can have employees and obtain an Employer Identification Number (EIN).
Setting Up a Sole Proprietorship in Utah
Sole proprietorships offer a straightforward way for individuals to start a business in Utah. This simple structure makes you the sole owner with complete control over operations and decisions. With minimal paperwork and costs, a sole proprietorship provides an accessible business structure to realize your idea.
Business License Procedures in Utah
Follow along to learn how to get a business license in Utah, including helpful insights on local, state and federal licensing, permits and fees.
Becoming a Sole Proprietor in Utah
Once you start a business, you automatically become a sole proprietor in Utah. But you should still take steps to start your sole proprietorship, including choosing a business name, applying for licenses and permits, and obtaining an EIN.
Converting Sole Proprietorship to an LLC in Utah
Here are the necessary steps in converting a sole proprietorship to an LLC in Utah, which offers liability protection and tax flexibility.
Taxation and Legal Obligations
As a sole proprietor, the taxation process differs from that of other business entities. Sole proprietors report their business income and expenses on their personal income tax returns using Schedule C (Form 1040).
Business Name and Registration
Starting a sole proprietorship in Utah involves steps like developing a business concept and plan, outlining your products/services, target market and goals. Next, choose a unique and available business name that reflects your brand identity.
Costs and Considerations
What are the costs of sole proprietorship?