As you grow your small and medium-sized business, it is vital to ensure you are acting in compliance. Business laws are different for each state if you aren’t complying with what the penalized and owe fees.
Below are five tips for keeping your small or medium-sized business compliant with the state.
Confirm Business Standing
It would be best if you made sure that your business is in good standing. You can check to make sure your business has the Certificate of Good Standing, which is a document that is issued by the state that says you are clear to run your business. This document shares that your business is compliant.
You would be smart to have this certificate on hand, especially if you are looking to get a loan since, depending on the state, lenders may require the document.
Decide on Business Structure
An essential part of the preparation stage for your business is deciding on the structure of your business. There are options for opening your business, including Doing Business As (DBA), Corporation of LCC. Each of these options can offer their own sets of benefits, but you will need to determine which option will be the best fit for your business.
Register Business and Obtain Business License
Look online and learn how to register your business for the state you will operate in. Each state has different guidelines for small or medium business owners that they must follow.
Once your business name is registered, you need to obtain the required license and permits, so you do business in the city you are planning to open your business in. Make sure to check for other requirements for where you live.
Be Aware of Constant Changing Laws
It is essential to have procedures and processes in place. However, it would help if you stayed current with the continually changing laws to ensure you are acting within compliance.
If businesses fail to comply with the laws and regulations, they could end up having legal problems, penalties, and paying fines.
Keep Important Contacts Updated
It is essential to have your contact information at hand so that you can easily handle any critical issues that might come up. Most small or medium-sized businesses can run into problems with human resources and compliance.
Hiring in house human resource departments can be an expense that your business might not be able to afford right now. You should always have an updated list of important contacts to make sure you are talking to the right problem when any issues may arise.
Consider a PEO Company
A Professional Employer Organization (PEO), is a company that works with small or medium-sized businesses to provide human resource administration. Together both share the employment liability of their employees.
The services a PEO company can offer vary, but most include handling health benefits, unemployment insurance claims, payroll processing, worker’s compensation, human resource policies and procedures, and compliance.
Although services offered can vary depending on the PEO companies, the basics most professional employer organizations provide functions such as.
- Benefits administration.
- Performance management.
- Employee training.
- Payroll processing and tax filing.
- Compliance and risk management.
- Onboarding and offboarding.
- Time and attendance.
- Workers compensation.
- Employee handbooks.
Using a PEO service to outsource your employee service and human resource needs can provide many advantages to your business. Find the best PEO companies at quicksprout.
Professional employer organizations have specialists in compliance and can guide your business to ensure your business is compliant in its state. A PEO company can help small or medium-sized companies from making any costly missteps or avoid expensive penalties that can fall upon a business if it is fined for not following rules and regulations.
PEO companies work with many companies to ensure they are working in compliance. PEOs are aware of laws and regulations for the different states. They keep up to date on rules and regulations, guaranteeing that your business is in good standing and compliant.
Working with a PEO company takes the worry off you since they are up to date on all current employment laws. Professional employer organizations can offer many services that a company would find beneficial, but for small and midsize companies, human resources, employee services, cost-effective benefits, and shared liability can help grow a company.