---
title: What steps should I take before starting a business in Illinois?
description: "\"Get expert advice from Legal Faqs on the crucial steps to take before starting a business in Illinois. From understanding the legal requirements to creating a solid business plan, our comprehensive guide has got you covered. Avoid potential pitfalls and ensure a successful launch with Legal Faqs.\""
image: https://www.legalfaq.ai/hubfs/LegalFAQ/illinois-legal-faqs.jpg
---

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 April 1, 2023

# What steps should I take before starting a business in Illinois?

![Picture of Chris Battis](https://www.legalfaq.ai/hs-fs/hubfs/battis-mug.jpg?width=50&name=battis-mug.jpg) By  [Chris Battis](https://www.legalfaq.ai/faqs/author/chris-battis)  ·   1 minute read

Before starting a business in Illinois, there are several steps that you should take to ensure that your business complies with relevant laws and regulations. These steps include:

1. **Choose a business structure:** You will need to decide on a business structure, such as a sole proprietorship, partnership, limited liability company (LLC), or corporation. Each structure has specific legal requirements and tax implications, so it's important to consult with a lawyer or accountant to determine which structure is best for your business.
2. **Register your business:** You will need to register your business with the Illinois Secretary of State's office. This includes selecting a business name, completing the necessary paperwork, and paying any required fees.
3. **Obtain necessary licenses and permits:** Depending on the type of business you plan to operate, you may need to obtain various licenses and permits from local or state authorities. This could include things like a state sales tax permit, a liquor license, or a health permit.
4. **Set up tax accounts:** You will need to register for federal and state tax accounts, including an Employer Identification Number (EIN) and state sales tax account.
5. **Draft legal documents:** You should work with a lawyer to draft necessary legal documents, such as a business plan, operating agreement, employee agreements, and contracts with vendors or customers.
6. **Obtain insurance:** You will need to obtain various types of insurance, such as liability insurance, workers' compensation insurance, and property insurance, to protect your business and assets.

While these steps are a good starting point, there may be additional legal considerations depending on your specific industry or circumstances. It's always best to consult with an experienced attorney to ensure that you are complying with all relevant laws and regulations.

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