Lesson 2: Starting Strong – Business Basics You Need to Know

Lesson 2: Starting Strong – Business Basics You Need to Know

🔹 1. EIN (Employer Identification Number)

• What it is: Your business’s Social Security number (required for taxes, banking, and hiring).

• Why you need it: Even if you’re a solo entrepreneur, you’ll need this to open a bank account or build business credit.

• How to get it: Free and fast on the IRS website.

🔹 2. Choosing Your Structure: LLC vs. Corporation

• LLC (Limited Liability Company)

  • Simple, flexible, and protects personal assets.

  • Best for most small businesses and solopreneurs.

• Corporation (S-Corp or C-Corp)

  • More formal, great for scaling or raising capital.

  • Requires more paperwork, ideal for bigger businesses or startups seeking investors.

• We'll provide pros & cons and help you decide what’s best for you.

🔹 3. Business Bank Account

• Keep your business and personal finances separate.

• Builds credibility and makes accounting easier.

• Most banks require: EIN, business registration, and personal ID.

🧾 What You’ll Receive:

• ✅ Business Formation Checklist

• ✅ Quick Start Links

• ✅ EIN + LLC/Corp Filing Resources

• ✅ Bank Account Setup Tips