What are the legal procedure to start an on-line business?

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What are the legal procedure to start an on-line business?

I have a plan of starting an on-line business. The service offered by my company would be to help students to prepare for their board exam through on-line practice exams for a fee. As I will not be shipping any item/product. What would be the legal procedures?

Asked on August 14, 2011 Missouri

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

You need to ensure you are licensed to conduct such activity in each state you either advertise in, do business in or both. By do business in, I mean you will have contact with consumers in other states. You need to register with the secretary of state in each such state and if the department of education in each state requires you to have a particular license, then you need to ensure you have that. Talk to a business attorney in the state in which you plan on starting and understand that you will need to get your business plan together and contracts and fee structures together before you embark on taking on even one customer.


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