| The idea of starting their own small business is very | | | | Secretary of State also, although this will not establish |
| exciting to some people, and some of them go | | | | your exclusive rights to it. You will first need to verify |
| forward with it. However, most new businesses fail. | | | | with the Secretary of State that it is not already in use. |
| Largely for that reason, there are no State or Federal | | | | The State tax ID will be issued by the Colorado |
| government grants for business start-ups. | | | | Department of Labor and Employment when you |
| However, there are many programs which offer a | | | | apply for it correctly. |
| "guaranteed loan", meaning that the bank applies to the | | | | Workers' Compensation Insurance |
| government for a guarantee on your loan. There is | | | | You are required by the Colorado Division of Workers' |
| also private financing. Most start-up financing comes | | | | Compensation to provide this, and more details can be |
| from the new business owner, or his friends and | | | | obtained from them. There is no State fund for it. It is |
| family. When your business has a two- or three-year | | | | available through various private insurance companies |
| business history, then the government and banks are | | | | in Colorado and from Pinnacol Assurance, a non-profit |
| more likely to consider some type of loan. | | | | insurance carrier. You would need to shop around for |
| Business Plan | | | | the best rates and service. |
| The first thing required is a well-written business plan. | | | | Unemployment Insurance Taxes |
| The State of Colorado offers free counseling on this in | | | | The beginning base tax rate for most employers is |
| its network of Small Business Development Centers. | | | | 0.017, plus a surtax which is computed annually. If your |
| The Colorado Office of Economic Development and | | | | business is construction-related, it may be subject to a |
| International Trade (OEDIT) offers an online Business | | | | different tax base. |
| Resource Guide, which offers guidance on writing a | | | | Sales Tax |
| business plan and on other aspects of starting a | | | | Colorado's sales tax rate is 2.9%. Counties, cities, and |
| business in Colorado. This is a good place to consult in | | | | special districts also collect sales taxes. Your |
| the early stages of your business planning. | | | | business's exact sales tax rate will depend on its |
| Alternatively, you can consult an experienced business | | | | location. Colorado has 43 home rule cities that require |
| start-up law firm, who will know all the steps to take | | | | separate business licensing and independently collect |
| and have copies of all the required paperwork. | | | | their portion of the tax on all sales made within their |
| Business License | | | | jurisdiction. |
| No general business license is required in Colorado, but | | | | Some legal assistance |
| a specific licence is required for each type of business, | | | | Requirements for starting your new business in |
| and these are issued by the State of Colorado. If you | | | | Colorado are extensive and complex, and meeting |
| are starting a corporation, Limited Liability Company, | | | | them all without any assistance is time-consuming. You |
| Sole Proprietorship or General Partnership, you will | | | | can obtain prompt and wise legal help from highly |
| need to register your trade name with the Colorado | | | | experienced attorneys, however, and this will enable |
| Secretary of State, and file all the required paperwork. | | | | you to focus on the more enjoyable aspects of your |
| Business Name and Tax ID | | | | new business. |
| The new business name must be registered with the | | | | |