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Are you thinking about starting a home-based business? It’s a great way to start a business because of the lower costs – and with all the technology available, like laptops, faxes, and printers, it’s relatively easy to set up a full-service home office. Don’t set yourself up for unnecessary trouble. There are a few legal issues raised by home-based businesses you should be aware of: First, protect yourself and choose the right legal structure for your business. You may want to form a corporation, a limited liability company, or a partnership. But whichever entity you choose, make sure you take this step to protect yourself from unnecessary liability. And make sure you are properly insured against liability and losses. Second, zoning. Since you’ll be running your business from home – as opposed to a commercial building – make sure your neighborhood zoning laws allow your type of business in your neighborhood. Third, get the licenses, permits and other formalities you need in order to operate. All home-based businesses need to obtain basic business licenses and permits required by the state, city or county. Fourth, taxes. Like any other business, you will be able to deduct certain expenses incurred in operating your home-based business. Staying organized will help you to sort through these items with your tax preparer. Finally, as your business grows, particularly if you hire employees, additional legal issues will be raised. A business law attorney can help you set things up correctly from the get-go and be there for support if any problems develop. Congratulations and good luck!