Legal Question in Business Law in California

One problem with your proposed business plan is: It doesn't rain in Van Nuys. You could sell umbrellas in Portland or Seattle. Or you could stay in L.A. and sell socks or underwear or used cars. Maybe you could be ready with lots of umbrellas and street vendors in case it rains.

You need a business license to operate the business and a resale tax permit to collect and pay sales tax when you sell the umbrellas. You should also keep separate bank and accounting records for your business. Consult with an attorney in your area for specifics.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

Consider getting and studying a paperback book on "how to start and run your small business" or similar title. Consider incorporating. Discuss business (liability) insurance with an agent.

In importing Chinese items. you may need to learn about clearing customs and paying duties, although the process may be fairly simplified for small shipments. Problems that are most frequently encountered are (1) counterfeit goods (branded falsely), or (2) toxic materials (lead paint, etc.)