1) Definitely establish the business as either a corporation or LLC--they are essentially the same in terms of protecting your personal assets ("limited liability") from business debts or obligations. Between the two, for small businesses, LLCs are generally easier to set up and administrate, with less formalities, so that's the recommended way to go.2) You want good liability insurance; property insurance (for your equipment, inventory, etc.); and possibly (at least get it priced out) "business interruption" insurance, to provide income if something happens that disrupts your business for a time (e.g. a bad storm takes out your home and equipment). The most important is the liability, to protect you in case someone is injured by the business (I know nothing aboout spray tans, so if this example doesn't make sense, apologies), such as through some sort of allergic reaction to the producut, or getting product in their eyes.