Having cash available is important to any business. This will help you make realistic decisions about the viability of your business. All businesses need some type of insurance, but insurance needs will differ from company to company. In New York State, if a small business has any employees, it must then carry workers' compensation and disability insurance. If the business owns vehicles, it must have automobile insurance.
Landlords often require a business owner to have liability insurance.
Bankers and investors may want a company to have fire and other types of insurance. In some cases, partners in a firm will want the other partners to have life insurance. This will be especially important if the business relies on each partner's unique skills. Currently, most businesses must be registered in some way and many will need one or more licenses from regulatory agencies. All partnerships and those sole proprietorships that choose to do business under an assumed name must register with the country clerk's office in the county where the principal place of business is located.