Legal Question in Business Law in New York

Hi,

I plan on starting an online business to sell online certificate programs (in which I teach) and books (that I self-publish). Could you please provide legal advice on the few points below?

. Do I have to establish it officially as a business entity? If so, how can I do it in NYC? (I'd like it be a sole proprietorship)

. Do I have to pay taxes for its income (even though its income may be negligibly low for the first year or two)? If so, where and how can I register it for taxes?

. Does the business need to be accredited to offer online certificate programs (certificates offered will be "professional" ones for professional or personal improvement, not "academic" ones for academic credits)? If so, how can I get accredited?

. For the business to be established in NYC, do I (as the owner) have to be a resident of NYC? If not, can I use a PO Box address as the registration and mailing address in all official matters?

Thanks in advance for your advice,

Gokhan Ucoklar

[email protected]


Asked on 10/18/11, 2:53 am

1 Answer from Attorneys
Roman Fichman Esq. Law Practice of Roman Fichman Esq.

- You should establish your venture as a business entity. A sole proprietorship is not a business entity. A business entity can either be a LLC (limited liability company) or a corporation. A business entity will provide limited liability and tax advantages.

- You must pay all taxes including sales tax and payroll taxes. Once you establish your business entity you will register with the IRS and get an employment identification number (EIN) with which you will file the relevant tax returns. The tax treatment will depend, in part, on whether you choose a LLC or a corporation as your business entity. You should use an accountant for your and the company's taxes.

- The question about accreditation is an excellent one. It is impossible to answer it under this site's limited framework and it depends on the subject matter and the nature of certification you are offering.

- You don't have to be resident of NYC to establish a business in NYC. In addition, a P.O.B. can be used as the address of a business.

Feel free to contact my office at your earliest convenience for further assistance in this matter.


Roman R. Fichman, Esq.

www.TheLegalist.com │ @TheLegalist

email: Info (@) TheLegalist (dot) com

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Answered on 10/18/11, 10:47 am


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