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Starting an online business

Many people in Detroit have the dream of owning their own small business. However, in many ways small businesses need to be formed and planned in the same way as larger businesses. However, if you cross your "t's" and dot your "i's", your business will be in sound legal health.

For example, if you are starting an online business, one of the first things you should do is register a domain name. You will also need a web host and a website.

On top of those concerns, as with any type of business, you must decide what type of business structure you want. For instance, is it going to be run by a partnership, a corporation or other format? The kind of business will dictate what needs to be done first.

Those starting online businesses will also have to comply with a number of state and federal laws. For example, the Anticybersquatting Consumer Protection Act prohibits certain uses of domain names. There are also rules and regulations governing how quickly goods must be delivered when they are ordered online. The Children's Online Privacy Protection Act strictly regulates certain business practices with regard to children. And, since online businesses can reach people all over the world, there may be laws governing international trade, as well.

Thinking about starting a business and starting a business can be overwhelming but knowing the steps that need to be taken in this type of venture may go a long way in easing any anxiety. Attorneys with experience in the intricacies of business formation and planning can help people to get their business dreams off and running.

Source: U.S. Small Business Administration, "Business Types: Online Businesses," accessed May 14, 2015

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