Build a Website that Sells Your Service Online So You Can Transform Lives, and Create Impact
Note: I need to preface this piece by letting you know I was 100% going to call it “The Super Boring Administrative Steps for Starting Your Online Service Business That You're Gonna Want to Skip But You Really Shouldn't.” You’ve been warned.
Congratulations, you’re launching your online service business and are ready to start working with clients. That’s great! 🎊
Unfortunately, like when you register for school or buy a house, there’s some tedious steps that you have to take care of to actually get started. This post is about these steps, and I would like to state that if it’s boring, it’s not my fault. 🙄
We’re going to focus here on solopreneurs in the US launching an online service business where the service is provided virtually. If this isn’t you, for example if you’re launching a product-based business or if you provide service in real life, this post may not be for you. Also, know that what I cover here focuses on steps that apply to most businesses. If you’re operating in a highly regulated field, in a field with higher risk, at a location with more restrictions and so on, there might be additional steps that you’ll need to take - please be sure to look these up.
And just so we're 100% clear, this is not legal or tax or any other professional advice. ☑️
The Administrative Tasks of Launching an Online Service Business - Some Obvious Questions
Can You Get Away Without Doing the Boring Stuff?
Yes, you can. At least for a while. But if you know that you’re going to start collecting payments and working with clients soon, then you shouldn’t wait. Yes, it's a bit of a hassle, but at the same time it’s straightforward, plus:
1. It’s easier to operate your business when it’s separated from your personal life as it keeps you and your family more protected legally if things go wrong.
2. It allows you to claim your dream by putting a stake in the ground.
3. When you’re ready to take on clients, you’ll be ready to go with things like tax information, legal business name, and bank account information. Taking these steps early will make things run way smoother when it really counts.
So, if you’re serious about going pro, do these things.
When Should You Get Started with the Formal Steps of Starting a Business?
For my business, I set up all this stuff when I wanted to sign my first client. I wanted to look pro and to be a pro, really. I just came out of business school, so I was more indoctrinated into the “do it right” mindset and too aware of all the things that can go wrong when starting a business, so taking the steps here seemed like a small price to pay.
How Long Will It Take to Complete the Administrative Steps of Launching an Online Service Business?
If you’re doing things yourself (maybe with the help of an assistant), it can take you a few days to get the bulk of the work done. You may have some lingering things after you’ve taken the initial steps (like picking an accountant/CPA if you plan to use a new one), but you can start working with clients while you wait for the lingering items to close.
If you plan to work with an accountant or a business advisor, it will depend on their availability and process.
How Much Does It Cost to Formally Start an Online Service Business?
The basic admin steps don't cost much. Hiring professionals can cost you and it's up to you to decide when it's time to pay for premium service. It depends on the field you operate in, your skills, and the type of work you do.
The nice thing about an online business is the you don't have expenses for things like office and storage space rental, inventory, and employees.
That said, even in the first years expect to spend some money to run your online presence, establish your brand, and hire freelancers and independent contractors to help do it all professionally.
Should I Get a Website & Online Presence Before Finishing the Admin Checklist?
You can, definitely! Some people launch their business after sharing content for a while, and that’s actually great because you’ve already done some marketing work and it’s easier for you to validate the offers you want to sell.
In fact, you can click here to read about the things I recommend you do early on when you decide to create an online presence.
Think about your business name a bit before you set up a website and social media accounts. But you can always start with your name, and if later you decide you want to use a different name for your brand, you can tweak it then.
If you’re making money through your content (for example through affiliate programs) or if you’re producing a lot of content, then it’s probably time to get “formally” started.
Mindset: Getting to the Starting Line is Your #1 Priority - So Keep Your Eyes On the Prize
When you’re starting out with your service business, your goal is not to grow, it’s not to improve, it’s not to up-one someone. When you’re starting out, your goal is to LAUNCH.
Don’t look at anyone ahead of you. Don’t compare. Don’t plan for five years from now. Don’t think of building things that last or things that scale. BUILD THINGS THAT ARE. As in, things that exist in the real world and not in a notebook you keep or in your dreams.
Keep it simple.
Checklist: The Admin To-Do List for Starting an Online Service Business (Coaching, Consulting, Teaching, Freelancing, etc.)
Here’s the list of things I recommend you do before working with clients.
👉 Business Structure, Name, and Registration 👈
When starting an online business, there are several administrative steps that need to be taken to ensure a smooth and legal operation. The first step is to choose a legal structure for your business, such as a sole proprietorship, limited liability company (LLC), or corporation. Each structure has its own benefits and drawbacks, so it’s important to understand them before deciding.
Next, you’ll need to choose a business name that reflects your brand and target market. Make sure the name is unique and not already taken by another business.
Once you have a name in mind, it’s time to register your business. The registration process can vary depending on your location, so it’s important to research the requirements in your state or country. You may need to hire a registered agent or complete specific forms. Be cautious of scams and choose reputable sources for registration help.
Finally, don’t forget to get any necessary tax identification numbers for your business. This is important for tax and may vary depending on the structure and location of your business. Consult with a tax professional or research the requirements in your area.
By following these administrative steps, you can ensure that your online business is legally established and ready for success.
👉 Obtaining Permits and Licenses 👈
When starting an online business, coaching business, consulting business, or online service business, start by researching the local, state, and federal requirements that apply to your specific service industry and location. Different industries and locations may have specific regulations and permits that you need to comply with.
Once you have identified the specific permits and licenses you need, take the steps to obtain them. This may involve filling out applications, providing documentation, and paying any required fees. It’s important to thoroughly research and understand the requirements to ensure you are in compliance with the law.
Consider consulting with a business attorney or local licensing agency to ensure you have a complete understanding of the necessary permits and licenses for your particular business.
Getting the permits and licenses demonstrates your commitment to operating a legitimate and compliant business. It not only ensures that you are protected legally, but also instills trust and credibility with potential clients. Take the time to complete this administrative step to set your business up for success.
Another thing to consider is whether you need certification in your field or would enhance your professional credibility and increase your chances of success
👉 Getting Business Insurance 👈
When setting up your online service business, one crucial step is securing the right type of business insurance. A few key insurance policies to consider are General Liability and Professional Liability (Errors & Omissions). General Liability insurance helps protect your business from claims related to bodily injury, property damage, or advertising injury. Professional Liability insurance provides coverage for claims arising from errors, omissions, or negligence in the services you provide.
To determine the right type of insurance for your online service business, consider the specific risks associated with your industry and the services you offer. It’s essential to research and understand the coverage options available to you. Once you’ve identified the insurance policies that align with your needs, you can reach out to insurance providers to request quotes. Compare the coverage and cost across different providers to find the insurance plan that suits your budget and requirements.
When purchasing business insurance, it is crucial to review the policy terms and conditions carefully in order to guarantee sufficient coverage. Seek guidance from an insurance professional if needed. Securing the right insurance for your online service business helps safeguard you from potential financial risks and provides peace of mind as you navigate the business world.
👉 Setting Up for Financial Administration 👈
When starting an online business, it’s important to ensure that your financial administration is in order. Here are some key steps to take:
1. Set up a business bank account: Separating your personal and business finances is crucial for organization and accurate record-keeping. This will also make it easier to track your business income and expenses.
2. Consider a business credit card: Having a dedicated credit card for your business can help you keep personal and business expenses separate. It can also make it easier to track expenses, build credit, and provide additional perks like rewards or cashback.
3. Implement accounting and invoicing systems: Choose an accounting software that suits your needs, and set up an invoicing system to streamline your financial transactions. This will help you keep track of your income and expenses, generate professional invoices for clients, and simplify tax filing.
4. Understand tax obligations: Research and understand your tax obligations as an online business owner. Depending on your location and business structure, you may need to register for and pay sales tax, income tax, or other taxes. Consider hiring an accountant who specializes in online businesses to help ensure compliance and maximize deductions.
Taking these financial administrative steps will help you stay organized, track your business finances accurately, and ensure compliance with tax regulations. By setting up proper financial systems from the start, you’ll be better positioned for long-term success.
👉 Developing Client Contracts and Agreements 👈
Developing client contracts and agreements is an important step when starting an online business. Clear contracts not only protect both parties involved, but they also establish expectations and build trust. Here are some key components to include in a standard service agreement:
1. Scope of Work: Clearly define the services or products you will provide to your clients. Include details such as deliverables, timelines, and any specific requirements.
2. Payment Terms: List your pricing structure, payment methods, and any applicable taxes or fees. Specify due dates, late payment policies, and consequences for non-payment.
3. Intellectual Property: Address ownership rights of any intellectual property created during the project, including copyrights, trademarks, and patents.
4. Confidentiality: Include clauses to protect sensitive business information or trade secrets. Clearly specify what information is confidential and how it should be handled.
5. Termination and Dispute Resolution: Outline the conditions under which either party can terminate the agreement. Include procedures for resolving disputes, such as mediation or arbitration.
While it’s possible to create contracts on your own, consulting with a lawyer is recommended to ensure legal compliance and tailored agreements. Additionally, consider creating your website’s Terms of Use and Privacy Policy, which can often be included in a package offered by lawyers specializing in business startups. Remember, clear contracts can lay the foundation for a successful online business.
Remember to define your scope of work, establish clear payment terms, address intellectual property rights and confidentiality, and outline termination and dispute resolution procedures.
👉 Not Essential, But… 3 Easy Steps to Start Establishing Your Online Presence 👈
Establishing an online presence is crucial for the success of your online business. Here are simple administrative steps you should take sooner rather than later:
1. Register a domain name: Choose a unique and relevant domain name that reflects your business. Look for domain registrars, compare prices, and secure your chosen domain.
2. Claim your social media handles: Select social media platforms that align with your target audience and register your business handles. Consistency is key, so make sure your handles match your brand.
3. Set up social media profiles: Create professional profiles on platforms like Facebook, Instagram, LinkedIn, Twitter, or any other relevant platforms. Fill out your profiles with accurate and compelling information about your business.
4. Optional: Create a website and professional email address: Consider building a website to showcase your services, products, and expertise. If you’re not ready for a full website, create a placeholder website or a professional email address that reflects your brand.
Doing these early is simple enough, even if you're not techy and it will make sure your domain name and social handles are available when you need them.
Conclusion & Next Steps
Oh cool, you made it through the end.
The nice thing about the steps we cover here is that even if there are options, it’s usually pretty straightforward to choose when you’re starting out and it doesn’t take long to get to the finish line.
The important thing is not to let these tedious steps hold you back. Take action and move on. With this list wrapped up, you won’t get stuck later on when it’s time to take on new clients.
Isn't it time you started growing your list & booking clients?
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