The Internal Revenue Service and many state tax authorities publish pamphlets and booklets which can help you determine whether you need a separate EIN for your business. The need for a license or permit depends on the business you engage in, the location of the business, and federal, state, county, city, and local rules and ordinances. Business activities are generally regulated by government agencies. Many local governments have information centers for small businesses to assist with compliance to local, state and federal regulations. If your business will operate under a name different from its official name, you should complete a trade name statement, publish the statement in a newspaper of general circulation, and then record this information with the County Clerk of Court where the business is located.
Corporations are generally exempt, as are businesses that use the individual proprietor's own name.
Whether you need insurance depends on your business activities and the amount of liability exposure that you have from the activity. In deciding whether to purchase insurance, an analysis of your risk exposure should be performed. If you are unable to determine your risk of loss from engaging in business, contact a commercial lines insurance broker.