Filing Requirements for Sole Proprietorship

The video tutorial explains the legal requirements for forming a sole proprietorship, emphasizing that no state filing is needed to start one. However, certain situations require filing or announcing the business status to the public. It covers the 'Doing Business As' (DBA) or fictitious name filing, which is necessary when operating under a name different from the owner's. Additionally, obtaining a business license from the local governing body is essential for legal business operations.

What is a sole proprietorship primarily characterized by?

• Having multiple owners

• Carrying on an activity for profit or loss

• Being a corporation

• Filing with the state

When might you need to file a 'doing business as' (DBA) name?

• When you are a corporation

• When you have a business partner

• When operating under a different business name

• When using your own name for business

Where is a DBA or fictitious name typically registered?

• At the local courthouse

• With the federal government

• At the local library

• With the Department of Commerce

What is a business license required for?

• To open a bank account

• To file taxes

• To legally carry on business activity

• To hire employees

Who issues the business license needed to operate legally?

• The federal government

• The local governing body

• The Chamber of Commerce

• The Internal Revenue Service