Legal Question in Business Law in Illinois

Internet Retail Business Start-up

I am interested in starting a retail internet business. I will be doing this out of my home located in unincorporated part of McHenry County. Do I need an FEIN? Do you suggest I form an LLC? What order do I need to submit forms? Do I do the FEIN, then the DBA, then the Tax ID? Do I need anything else? I also plan on selling some items on Ebay, do I need to do anything for that? Is it true that I would charge taxes only if I purchase a product in Illinois and the buyer is located in Illinois? Or is it that I only charge sales taxes if the buyer is located in Illinois? As you can tell, I am a bit confused on this process. Any help you can provide is appreciated.


Asked on 4/27/05, 1:31 pm

1 Answer from Attorneys
Jonas Grant Law Office of Jonas M. Grant, A.P.C.

Re: Internet Retail Business Start-up

You may consider an LLC, but why are you also not considering an S or C corp? What's right for your depends on the circumstances. At a minimum, you will likely need a business license, registration with the IL Dept of Revenue - http://www.revenue.state.il.us/Businesses/faq/rotfaq.html and if using a ficticious name, you'll need to register that as well.

If you don't incorporate or form an LLC, you are a sole proprietor and your SS# is your FEIN.

Hope this points you in the right direction.

(If you are interested in retaining me for legal advice or assistance with incorporting, I am licensed in California and Illinois. My flat fee rate would include assistance with all of the issues you mention.)

Read more
Answered on 4/29/05, 1:30 am


Related Questions & Answers

More Business Law questions and answers in Illinois