Entrepreneurship Links, Downloads and FAQ’s

Business & Entrepreniurship Links

Frequently Asked Questions:

1. Do I have what it takes to succeed in business?
You will be your own most important employee, so an objective appraisal of your strengths and weaknesses is essential. Some questions to ask yourself are:

Am I a self-starter?
How well do I get along with a variety of personalities?
How good am I at making decisions?
Do I have the physical and emotional stamina to run a business?
How well do I plan and organize?
Are my attitudes and drive strong enough to maintain motivation?
How will the business affect my family? Can I support myself and my family during the early stages of the venture when cash may be short?

Few people start a business with all of the bases covered. Honestly assess your own experience and skills, then look for partners or key employees to compensate for your deficiencies. Also identify key business resources such as your local Small Business Development Center that can provide assistance, ideally early in the planning process.

2. What is a business plan, and why do I need one?
One of the most important things to do before starting your business is to plan and research your idea to ensure that your business has a favorable chance for success, will meet your expectations, and will provide an adequate reward for the risk involved. Sound business planning will indicate whether you should proceed with investing your financial and other resources, as well as those of lenders and/or other investors.

The business plan helps you evaluate your business on paper to determine if the idea is worth the investment of more time and resources. It precisely defines your business, identifies your goals, and serves as your firm’s resume. It describes the products and services you will sell; the customers to whom you will sell them; the production, management, and marketing activities needed to produce your offerings; and the projected profit or loss that will result from your efforts. It is critical to validate your beliefs before committing to a lease, leasehold improvements, purchase of real estate, equipment and inventory, etc.

Another important benefit of the planning process is that you will project the amount of financing needed for start-up and the early stages of your business. This gives banks and investors the information needed before a credit decision is made, making the business plan a useful tool in securing capital before start-up.

The business plan is not a static document used only for short-term planning and financing; it is a constantly evolving strategic tool that should be applied to management decisions throughout the life of the business.

3. What legal aspects do I need to consider when starting my own business?
Licenses required, zoning laws and other regulations vary from business to business and from state to state. Your local Small Business Development Center(SBDC) office and/or chamber of commerce will provide you with general information, but you will need to consult your attorney for advice specific to your enterprise and area. You also must decide about your form of organization (corporation, partnership or sole proprietorship) or tax status (e.g., should you opt for a Subchapter S status?).

4. Do I need a business license to operate in Quincy?
There are many types of licenses. You need one to operate legally almost everywhere. If the business is located within an incorporated city limits, a license must be obtained from the city; if outside the city limits, then from the county. For more information about licensing in Quincy/ Adams county contact the county or city clerks office. Find them on the web www.ciquincy.il.us city departments, http://www.co.adams.il.us.

5. How do I get a federal or state I.D. number?
The organizational id number for an Illinois corporation is the corporate file number. You can go to the corporate search area on the Business Services website, search the corporate name and the file number will be available on the search results. LLC file numbers can be obtained through a search on the Business Services website also. LP file numbers have to be obtained through an abstract. Fee is $10 for an abstract, $20 for expedited results. The LP Division can be contacted at (217) 782-6961 Ext. 7737. This information is required to be listed on filings under the revised Article 9.

Find information on local business services at: www.cyberdriveillinois.com/services/services_business.html

6. How do I register a business name in Illinois?
When the business name is different from the owner's full legal name, the "Assumed Name Act" requires you to register the business name with your county clerk's office, regardless of the structure of the business.

The Illinois Department of Professional Regulation (IDPR), www.state.il.us/dpr, is the main licensing agency for the State of Illinois for most professions. Individuals must be licensed prior to conducting business as one of the listed professions.

In Adams County, unless the business is a corporation, you must go to the County Clerks Office and register the business name for a $5 fee. Find more information from the county clerk’s office at: www.co.adams.il.us/county_clerk/vitalrecords/business.htm

7. Can I operate a home-based business out of my home?
No, not unless the residence is appropriately zoned. Exceptions are made for Home Occupations, as defined in Section 29.701 of the Municipal Code. The home occupation must meet all of the standards set forth in that section of the code. In Quincy, contact the City Planning & Development Office at (217) 228-4515. In other communities contact the City Clerk or County Zoning Officer.

8. Where can I find information about how to hire employees?
Choose your employees carefully. Decide before hand what you want them to do. Be specific. You may need flexible employees who can shift from task to task as required. Interview and screen applicants with care. Remember, good questions lead to good answers-the more you learn about each applicant's experience and skills, the better prepared you are to make your decision. For more information on hiring employees visit: sba.gov/starting_business/employees/finding.html.

9. Where can I get information about small business taxes?
Business owners are required by law to withhold the following from the wages paid to employees: federal income taxes, state income taxes and FICA (Social Security) Insurance. Income taxes will also be levied by the federal and state governments on earnings of any business. Therefore, each business must file an income tax return with both agencies. Businesses may be required to file estimated tax returns and pay estimated taxes on a quarterly basis.

For federal tax information:

> U.S. Internal Revenue Service (IRS): www.irs.ustreas.gov You can go to IRS's website area for business taxes or call your local IRS office to receive a number of publications that are available upon request to small businesses. One of the most helpful is Your Business Tax Kit, which includes data and forms for a Federal Employer Identification Number and a tax guide for small businesses that can be ordered by calling Forms and Publications at (800) 829-3676 or through a visit to your local IRS office.

For State tax information:

> The Illinois Department of Revenue: www.revenue.state.il.us, or call your state government and visit your official state web site www.illinois.gov.

> You may want to contact your local Social Security Administration Office, www.ssa.gov/regions/regional.html, for (FICA) Insurance information.

For more FAQ’s about starting your own business, visit: app1.sba.gov/faqs/faqindex