The following checklist shows the steps which should be taken when starting a new business. It is only a guide. No final conclusions should be reached by completing it without further review and consultation.

Before Start-Up

• Choose management advisors: accountant, attorney, and banker.
• Develop a business plan, including cash flow projections.
• Using the business plan, establish a relationship with a banker.
  Possible bank services include:
• Credit card merchant account
• Business checking account
• Working capital loan
• Equipment loan
• Lock-box services
• Select the legal entity at year-end.
• Find a location for the business.
• Negotiate a lease.
• Design the layout of the facility.
• Prepare all the necessary legal documents, as applicable:
• Partnership agreement
• Articles of incorporation and first organizational minutes
• Bylaws
• Federal identification number (SS-4)
• State and local license application
• Sales tax identification number
• State unemployment number
• Industry-specific issue
• Obtain quotes for and then order office furnishings and equipment.
• Order office supplies.
• Order business cards and business stationary.
• Order office telephone number.
• Purchase adequate insurance:
• Health
• Malpractice
• Liability
• Worker's compensation
• Life
• Fidelity bond
• Computer and equipment
• Umbrella
• Employee dishonesty
• Register the business with local and state authorities.

Start-Up

• Establish prices for your goods and services.
• Promote the business' opening through:
• Press releases to local and national media
• Advertising
• Direct-mail announcement
• Other

(This depends on the target market defined in the business plan. For example, a restaurant or store might send special coupons for discounts to local residents or present a grand opening event and send invitations to prospective customers, or a manufacturer or supplier of office supplies might offer special discounts to local businesses.)

• Seek, interview and make offers to job candidates
• Select and implement a financial recordkeeping system

(While this can be either manual or computerized, it must be implemented consistently. If the business records a particular type of transaction one way at the start, such transactions must continue to be recorded in a similar manner to avoid confusion.) Aspects of recordkeeping include:

• Accounts payable
• Accounts receivable
• Inventory tracking
• Order entry

Ongoing Operations

• Develop personnel policies and procedures
• Prepare quarterly payroll returns and verify timely tax deposits
• Prepare quarterly or monthly financial statements
• Perform yearend tax planning, at least one month before the yearend
• Prepare annual federal, state and payroll returns
• Develop employee job descriptions
• Review existing insurance coverage at least once a year
• Prepare and maintain personnel files
• Establish a petty cash fund and policy
• Establish answering mechanism for after hours
• Join industry associations and groups
• Verify listing in the yellow pages of area phone directories
• Register trademarks (word, name, symbol or device) that indicate a unique identity on which your business is building

Source: Grabush, Newman & Co, Baltimore, Journal of Accountancy, May 1995

Additional resources:	Bank of America: Resource Center
	SBA.gov: Checklist for Starting a Business