Maybe you want to finally open a gardening store, or sell antiques? Have you spotted the perfect location for your small business, and you've got a little bit of capital to get things going? Not so fast. You've got to plan things out a bit before you leap in with both feet. With a little extra time and a few extra phone calls the chances of your success will greatly improve.

1. Business Organization

You have got to form a business organization. Will it be a corporation? If so, what type (S-corp? C-corp?) A partnership? A limited liability corporation? A limited liability partnership? There are different tax implications for each of these, and it would be best to consult an accountant and/or lawyer. You will need to have them on-board anyway when its time to do your taxes.

2. File the Necessary Paperwork with the State and IRS

Once you decide what organization to be, you need to actually file with the state to become legally recognized. Then, you'll need to file a request with the IRS to obtain an EIN (Employer Identification Number). Yep, there is a lot of filing to be done. You need to be legally organized before a bank can lend you money, or a landlord can enter into a lease with you, so this is the next critical step. Get it done as soon as you can.

3. Research local zoning codes to make sure you can operate where you want

Before you start negotiating a lease with a potential landlord for a dog kennel (for example), be sure to check local zoning regulations. Oftentimes, commercial regulations may be restrictive. Some uses may require a conditional use permit (a discretionary permit that can be difficult to obtain), or may be outright prohibited.

4. Get any licenses you need from the state and/or city. Operating a hair salon? Day care center? You'll need state licenses. Make sure that you get annual renewals, as well. Other operations will need local business licenses. Look in the front of your phone book and call City Hall.

5. Have you determined the demand for goods or services you'll be selling? If so, will they be competitively priced? This will have to be factored in when considering overhead and start-up costs (legal and accounting fees, rent, employees, payroll, supplies, etc.)

6. Do you have the best location? Maybe the proposed rent is a bit high, but the storefront will be in a well-traveled area that your potential customers will notice. Are there trade-offs you can request in negotiations with your landlord to help reduce the overall monthly rent costs?

7. Do you need a loan to get things off the ground? If so, there are many financial institutions willing to give loans in certain circumstances. You will have to prepare a business plan and really have done your homework. Refer above to each of the factors listed previously. The best case you can make, the more likely you will be to receive a loan from the bank. A reasonable request, on reasonable terms, without too much risk will be best received by financial officers. Show them how likely you will be to succeed. They will want to share in your success.

8. Even with all of the above, do you have the necessary time to invest in your dream? To get a small business up and running takes far more than a "regular" 40 hour work week. Some people estimate at least double that. You can't do this on the side.

Starting a small business is not impossible, but it does take thorough work and forethought. Go through these tips, do some research and consult the experts. I wish you the very best luck!