How to Start a Woodworking Business In California
Here is a list of some items you may need to address when trying to start your own woodworking business in the state of California. You must do your own thorough research, as laws change regularly. This information will help with legally starting any type of woodworking business (woodturning, woodcarving, furniture, crafts, chainsaw art, wood pallets, etc.) If you plan to have employees, you will need further planning in order to meet government employment regulations.
Getting started- California’s official website about how to start a business in California is found here: California Business Portal
1. Register your business name.
Find out more about registering a fictitious name here: California Business Name Availability . Your fictitious name must be registered with your county clerk.
2. Select your business structure.
Determine what business structure you wish to have. A small business is usually a sole-proprietorship or LLC. Find out more here: California Business Entities
3. Register your business.
After choosing your business structure, you can register your woodworking business with the state of California. Find out more here: Register Your Business Entity
4. Open a Business Checking Account.
You will need to open a separate bank account for your business with your new business name.
5. Find out about taxes and hire an accountant.
You may want to file your own taxes if you are a small company. As you grow, it will be easier to have an accountant do the work. More info about taxes here:
6. Get Liability Insurance.
Depending on what type of work you will be doing, and where your shop will be located, you may want to consider liability insurance.
7. Worker’s Compensation.
You will need workers compensation if you have any employees.
8 Get Health Insurance.
Since you will be self-employed, you will need your own health insurance. If you have employees, you will need a plan that will include their health needs also.
9. City License.
You may be required to obtain a license to operate a woodworking business in your area.
Depending on what type of woodworking you will be doing, you will want to explore marketing options such as a website, social media, business cards, etc.