Home Based Business Questions…
I reside in Virginia with a goal in mind of starting a home business. I have the name of what I would like my business to be called in mind and have created a logo. However, it will take me some time to purchase the equipment needed for what I am wanting to do. I was told that I could trademark the name of my business/logo/slogan. I was also told that I will have to pay monthly or annually to keep the name/logo/slogan…which I am willing to do. However being that I will not officially start the business until I have the equipment needed, how does having a business name come into play with the IRS for a business that isn’t yet up and functioning? I really want to claim my name/logo/slogan. I just want to make sure I am abiding by whatever business laws are associated with that. Thank you in advance for your help.
You can trademark it now, there’s no IRS ramification of doing that or no for most small businesses (other than writing off the cost). If you have a registered business with income — or expense write-offs for startup — you can report that through the IRS. But as far as having a logo automatically requiring IRS filings, that’s not a flag to them. If you’re making investments in logo design, trademarks, and equipment, then you definitely need to talk to an accountant early-on to ensure your investment is recorded properly and that the accounts are set up to cover repayment of your investment when you do start making money. Good luck!