Legalities: Know your local regulations

Here are some of the most common requirements and legal considerations confronted by small business owners. The number and type of hoops a business owner will jump through varies depending on the type of business, but here are some of the most universal categories.

Business license
Most cities and/or counties require one. Call your local government's business license office directly or use your favorite Internet search engine to find if your city or county has posted its requirements on a Web site. Fees can be based on gross receipts or number of employees.

Zoning
Zoning restrictions can dog any business owner, but they often catch unaware the small business owner working from home. Municipal ordinances can be restrictive about what types of businesses are allowed in a residential district. Check with your local building department to find out the regulations.

Certificate of occupancy
Moving your business into a building? You may need a certificate of occupancy, or CO. Check with your city hall or search your state home page.

Business name and organization
Depending on how you structure your business -- as a sole proprietorship, partnership or corporation -- there may be forms to file with the state. The legal structure affects taxes and the liability of the owner and the business, so it's important to follow the appropriate procedures. Contact your state office for filing fees and information.

If you plan to operate the business under a name other than your own, you will have to comply with the Trade Name Registration Act by registering a fictitious name with the county. The exceptions to this regulation are corporations and partnerships doing business under the corporate or partnership name.

The above list only begins to scratch the surface. The nature of your business will dictate the types of permits you will be required to get -- and there are many. The city of Costa Mesa, Calif., for example, presents a checklist to business owners to prepare them for all the different permits that might be required to do business there. The total: 44, running alphabetically from air quality permit to zoning approval. Each has its own fee.

On its Web site, the state of Texas helpfully offers an alphabetical listing of all the business licenses and permits that might be required. There are 71 under the letter "C" alone, including carbon black plant operating permit, crabmeat processing license and compost facility permit.

The next two areas of government rules bring small business owners to the attention of federal bureaucrats -- taxes and employee regulations.