Some business types require registration with your state government:

• A corporation

• A nonprofit organization

• A limited-liability company or partnership

If you establish your business as a sole proprietorship, you won’t need to register your business at the state level. However, many states require sole proprietors to use their own name for the business name unless they formally file another name. This is known as a your Doing Business As (DBA) name, trade name or a fictitious name.

Select a state to find out about specific filing requirements in the state where your business will be formed.

Changing Your Business Type

Your initial choice of a business type is not permanent. You can start out as a sole proprietorship, and if your business grows and your risk of personal liability increases, you can convert your business to an LLC.

If you change your business structure, follow the Internal Revenue Service's instructions for Changes in Ownership or Organization.

You will also need to file new documents with your state government, and depending on state and local laws, you may also need to obtain new business licenses.