Business Xpress Startup Toolkit Step 1 - Name & Structure

Summary

The Oregon Secretary of State's Start a Business video series guides entrepreneurs through the initial steps of business formation in Oregon. It emphasizes the importance of selecting a unique business name using the provided search tool and choosing an appropriate legal structure such as sole proprietorship, partnership, LLC, or corporation. The video also highlights the benefits of LLCs and corporations in terms of asset protection and the simplicity of sole proprietorships and partnerships. It suggests consulting an attorney for personalized business structuring advice.

Takeaways

• 📝 The video series is a guide for starting a business in Oregon, complementing the Business Xpress Startup Toolkit.
• 🔍 The first step is to choose a business name and structure, ensuring the name’s availability through an online search tool.
• 🚫 If the desired business name is taken or conflicts exist, the system will notify the user to try a different name.
• 📜 A business name must be distinguishable according to Oregon administrative rules.
• 🏢 Understanding different legal structures is crucial for making an informed decision on what is best for the business.
• 👤 Sole proprietorships and general partnerships are simpler forms with personal liability.
• 🔒 Limited liability companies (LLCs) and corporations offer asset protection, with business assets at risk before personal assets.
• 📑 Both LLCs and corporations can register an assumed business name or DBA, which is a fictitious business name.
• 🤝 LLCs are organized with member or owner interest, while corporations are owned by shareholders.
• 👩‍⚖️ For those unsure about the business structure, consulting an attorney for organization advice is recommended.
• 📚 The video encourages viewers to watch more Start a Business videos for additional information.

Q & A

What is the purpose of the Start a Business video series produced by the Oregon Secretary of State Corporation Division?

The video series is designed to guide individuals starting a business in Oregon through the steps involved and to complement the Business Xpress Startup Toolkit found online.

What is the first step in starting a business according to the video?

The first step is to choose a name and structure for the business.

How can one ensure that the chosen business name is not already taken in Oregon?

Use the business name search tool and click the 'Business Name Availability Check' radio button, then type the desired name and click search.

What does the system do if the business name is not available or there's a conflict?

The system will notify the user, and they should go back and type in a different name to check for availability.

What criteria must a business name meet according to Oregon administrative rule?

A business name must be distinguishable on the record as defined in Oregon administrative rule.

What are some common legal structures for businesses in Oregon?

Some common legal entities include sole proprietorships, general partnerships, limited liability companies (LLCs), and corporations.

What is an assumed business name, also known as a DBA or fictitious business name?

An assumed business name or DBA is a name under which a business operates that is different from its legal name and can be registered by any type of business.

What structural layer of asset protection do LLCs and corporations offer to business owners and principals?

LLCs and corporations offer a structural layer of asset protection where the assets of the LLC are at risk before the personal assets of its members or managers in case the business is sued.

What are the characteristics of a sole proprietorship or general partnership?

Sole proprietorships and general partnerships are the simplest forms of business where one or more individuals conduct all aspects of the business and personally take on all associated liability.

How are LLCs organized in terms of member or owner interest?

LLCs are organized through the interest of members or owners in the organization, which influences the management and operations of the LLC.

What is the relationship between shareholders and the structure of a corporation?

In a corporation, the business is owned by shareholders who act as a single entity, and there may be a board of directors, a president, and other officers or principals to manage the business.

What advice does the video give to someone unsure about which business entity to choose?

The video suggests talking to an attorney for guidance on how to organize the business if one is unsure about the best entity to choose.