The Far Bar

The Far Bar

347 East 1^st Street, los Angeles, CA 90012

Little Tokyo is one of those little jewels in LA that’s so small you’d miss it if you didn’t know it was there, but so quaint and distinctive that once you find it, you wonder how you ever did without it.  Founded around the beginning of the 20^th century and one of only three official Japantowns in the United States, LA’s Little Tokyo is the cultural center for Japanese Americans in Southern California.  However, the internment of Japanese Americans during World War II emptied the area, and what is left of the original Little Tokyo can be found in roughly five large city blocks surrounding the Japanese Village Plaza – bounded on the west by Los Angeles Street, on the east by Alameda Street, on the south by 3^rd Street, and on the north by First Street.

Despite its small size, Little Tokyo derives its charm from its authentic cultural identity, combined with its unique proximity to the growing Arts District – formerly the Warehouse District.  During the 1970s and 1980s, when Little Tokyo was still reestablishing itself after World War II, artists began moving into the nearby aging warehouse spaces, forming a hidden community in the industrialized area.  As Little Tokyo continued renovating, this integration of culture and art brought it under the national spotlight – the Japanese Village Plaza was awarded a Federal Design Achievement Award in 1986, and the district was declared a National Historic Landmark in 1995.  Now, the area has a ton of restaurants, of all types, and a variety of fashion and clothing stores – everything from shoes, to high-end fashion, all the way to great chotsky dealers (I always get my aviators at Popkiller).

The point is this:  Not only is Little Tokyo very Japanese, it is also very artsy, but in a very urban area, beside the train tracks and the dilapidated remains of industrial warehouses, many of which are being converted into chic art studios and lofts.  So the place has a quite unique feel.  Think Skid Row…but clean…with beautiful graffiti murals…and the homeless wearing brightly colored kicks and looking more like hipsters (suspend your imagination)…and speaking Japanese.  And tiny stores hidden in the winding mall in the village plaza where you can buy Japanese VHS tapes and yogurt.

And there, across the street from the Japanese Village Plaza, hidden far back in a very very narrow alleyway, behind the adjacent restaurant is...The Far Bar.

The Far Bar is basically the first bar I located on my quest to find the best hidden places in LA.  And it has pretty much everything I love about Little Tokyo:  it’s low-key but classy; small, but surprisingly accommodating; and its use of space is truly unique, yet not pretentious.  If you can find the entrance, you literally have to squeeze through a long corridor of brick walls, which suddenly open up to a small-but-larger-than-expected patio bar, lit only by small candles and lights strung overhead, zigzagging from wall to wall high above the narrow makeshift alleyway bar.  The place gets loud and boisterous as the night goes on, and will usually have a band in the very back of the patio (which is still only about 5 feet from your table).  The place serves sushi, beer, liquor, cocktails, and of course, sake.

And after The Far Bar, you might want to head to the opposite end of Little Tokyo, across the street, in the very back of the small Honda Center strip mall, and check out Bar C – a low-key wine and sake bar with a weird bordello theme, where the the walls are covered in pink fur and Japanese bartenders dress like French maids. 

And the good thing is that if you have too much sake, you could probably just walk across the street and crash out in an abandoned warehouse for a few hours.  If anybody asks, just tell them you’re an artist.  [Just don’t tell them I told you to say that.]

Step 4 - Employer Identification Numbers

10 Steps to Starting a Business

STAGE THREE – HIRING EMPLOYEES

Complying with Employer Requirements

This newsletter covers Stage Three of walking through the 10 Steps to Starting a Business.  Now that you have a legally formed business entity and all licenses and permits necessary to conduct business, the next step is hiring employees. 

The moment a business hires even one employee, it is subjected to an overwhelming barrage of government regulations and requirements.  And as discussed below, complying with the litany of Federal and State requirements relating to employees is by far the most complicated, convoluted, and burdensome aspect of setting up a business In California.  Therefore, it is imperative that any business wishing to hire employees put systems in place to ensure compliance with these laws. 

Accordingly, Stage Three, the largest of the four stages, provides a basic overview of the California’s employment laws, breaking down the process of complying with these laws into six steps (Steps 4 through 9):

STAGE ONE

1.       Business Formation

2.       Fictitious Name Statement

STAGE TWO

3.       Apply for Business Permits and Licenses

STAGE THREE

4.       Employer Identification Numbers

5.       Verify Employment Eligibility (Form I-9)

6.       New Hire Reporting Program

7.       Withholding Requirements

8.       Insurance Requirements

9.       Workplace Poster Requirements

STAGE 4

10.    Pay Taxes

Because Stage Three is the most complicated stage, each step within Stage Three will be discussed in its own individual newsletter, starting with Step 4 – Obtaining Employer Identification Numbers.  So without further ado…

4.   Employer Identification Numbers

The first step to hiring an employee is getting employment identification numbers for your business from both the Federal and State governments.

EIN (federal)

The Federal government requires employers to obtain an Employment Identification Number (EIN) by filing Form SS-4 with the U.S. Internal Revenue Service (IRS).  The EIN is necessary for reporting taxes and other documents to the IRS, as well as when reporting information about your employees to various State agencies.  To obtain an EIN, an employer can contact the IRS directly or apply online.  To learn more about obtaining an EIN, check out the IRS’s Guide to theEmployer Identification Number.

EAN (California)

Additionally, California requires employers to register for a California Employer Account Number (EAN), which is used for many of the same purposes as the Federal EIN (e.g. paying and reporting taxes, etc.).  California employers can register for their California EAN by contacting the California Employment Development Department (EDD) directly or by registering online through the EDD’s e-Services for Business.  To learn more about obtaining your California EAN, check out the EDD’s website.

After your business has obtained its Employment Identification Numbers, it is now ready to actually hire employees.  And once you hire an employee, you must verify that the person you hired is eligible to be employed.  Accordingly, stay tuned for Step 5, which discusses the requirement of Verifying Employment Eligibility…

Stage Two - Getting Licensed

10 Steps to Starting a Business

STAGE TWO – GETTING LICENSED

Obtaining Business Licenses & Permits

This newsletter continues the multi-part series describing the 10 Steps to Starting a Business, which are described as follows:

1. Business Formation
2. Fictitious Name Statement
3. Apply for Business Permits and Licenses
4. Employer Identification Numbers
5. Verify Employment Eligibility (Form I-9)
6. New Hire Reporting Program
7. Withholding Requirements
8. Insurance Requirements
9. Workplace Poster Requirements
10. Pay Taxes

The first newsletter discussed the first two steps in Stage One (Setting Up Shop), and provided an overview of how to legally set-up and form a business entity.  This newsletter continues with this series and discusses Stage Two (Getting Licensed”), which covers the third step of starting a business, and provides an overview of how to obtain the business licenses and permits necessary for actually running a business after it has been set up. 

As explained in this letter, simply having a legally formed business entity through which you can run your business doesn’t mean your business is actually authorized to engage in the type of activities you wish to perform.  After forming your business, you must then obtain a variety of licenses and permits, depending on the type of business you intend to run (e.g. restaurant, bar, retail sales, etc.).  In other words, even though your business CAN engage in business, you need to ensure that it MAY engage in business – in the same way that even though someone can drive a car doesn’t mean they are legally permitted to do so without a driver’s license.  Accordingly, Step 3 of setting up a business involves identifying, applying for, and obtaining all necessary licenses and permits necessary to operate your business.

3.       Apply for Business Permits & Licenses

Obtaining all necessary licenses and permits for your specific business can be incredibly convoluted and time-consuming, as there are various license requirements at every level of government – from the Federal level to the State level, all the way down to the County, City, and sometimes even a regional or local level. 

CALGOLD.  To help employers determine which licenses and permits they need for their particular type of business, the State of California has created an online service called CALGOLD.  Employers can use CALGOLD to search for all licenses and permits required for a specific type of business (say, a restaurant or bar), within a specific County (say, Los Angeles), and the search results will provide an extensive list of all licenses and permits required at the Federal, State, County, City, and even local and regional level.

For example, a search of CALGOLD for restaurants operating within Los Angeles County indicates that such businesses may need to obtain the following licenses and permits:

• Alcoholic Beverage License (“Liquor License”)
• Sales & Use Permit (“Seller’s Permit)
• Public Health Operating License (“Food Service Establishment Permit)
• Building and Construction Permit
• Burglar Alarm Permit
• Business License (Business Tax Certificate – see EAN, above)
• Conditional Use Permit (required for sales of alcohol)
• Industrial Wastewater Discharge Permit
• Land Use Permit
• Zoning Approval

While CALGOLD is invaluable for small business owners by providing them with an easy-to-use means of identifying all permits and licenses potentially required for their specific business, take note that identifying the licenses needed is simply the first step.  Once you have identified the licenses your business must have to operate, you must then apply for and obtain all such necessary licenses and permits.  And completing the applications for each type of license or permit required is often less than intuitive – requiring multiple application forms to various government entities, all requesting different forms of identification and information.  Accordingly, while CALGOLD provides small business owners with a vital and truly ingenious service, its limitations must be recognized, as it leads business owners to the uncharted labyrinth of communicating with a myriad of government entities and complying with their numerous rules and regulations.  And furthermore, failure to have all required licenses and permits can subject you to serious fines, lawsuits, or penalties.  Therefore, while CALGOLD points you in the right direction, it is still highly advised that you employ an attorney to assist you with Step 3, and oversees the process of obtaining all required licenses and permits for your business.

Assuming we have now successfully completed Steps 1 through 3, our business should now be formed and properly licensed to engage in business.  However, now that you may lawfully engage in business, you now come to the most precarious stage in setting up and running a business – Hiring Employees!  Accordingly, we are now ready for Stage Three – hiring employees and complying with California’s litany of employer requirements.  Stay tuned for the following newsletters, which will carefully walk us through the steps involved in Stage Three – complying with California’s employer requirements…

The Old Place Restaurant

The Old Place Restaurant

29983 Mulholland Hwy., Cornell (aka Agoura), CA 91301 – Tel: (818) 706-9001

To most, the City of “Malibu” conjures fantasy-like images of the rich and famous, basking on picturesque beaches, and cliff-side houses you’ll never afford.  But, as a former resident of “the ‘Bu,” I can truly say the place offers far more than these iconic images, serving as a legitimate Shangri-La within an otherwise congested and overpopulated city – sprawling mountains, deep valleys, souring peaks, offering wineries, amazing hiking and rock climbing, mesmerizing camp sites, and of course, world class surfing.  I am still amazed by the abundance of hidden gems tucked away in the tiny corners, nooks, and crannies of the Santa Monica Mountains.

Last week, I made a concerted decision to get back into rock climbing and hiking, and as part of this resolution, I used the Labor Day weekend to take a break and drive up to Malibu – to do a rock scramble above Malibu Lake, and take advantage of some of the weekend’s epic surf (compliments of Hurricane Ileana).  After finishing a 4-hour hike off Deer Leg Trail, I returned to my car and decided to take the scenic route back to the beach.

And while driving along Mulholland Highway, deep in the mountains between Malibu and Agoura Hills, I stumbled upon another one of Malibu’s best hidden secrets:  The Old Place Restaurant.

Technically, The Old Place is not in Malibu – it lies halfway in a residential neighborhood and halfway in the Peter Straus Ranch, in an unincorporated district in the mountainous wine country area of the Santa Monica Mountains, still within Los Angeles County, in a once-established town called “Cornell,” now sharing the Agoura Hills zip code.

And if that doesn’t make the place seem hidden enough, The Old Place actually resides in the dilapidated remains of what was once Cornell’s post office, from 1884 to 1904.  And at first blush, The Old Place seems like it hasn’t been updated since that time, appearing to be a distressed wooden warehouse, somewhat like an old cowboy saloon, or one of the Cajon river homes lying on the bayou in the beginning of the Pirates of the Caribbean ride [or the House of Blues, to those who haven't been to Disneyland].  But despite The Old Place’s odd, out-of-place look, its surroundings – standing directly beside the quaint Cornell winery and downhill from an obscure art gallery – suggest the exterior is merely an unassuming façade, concealing some kind of…je ne sais quoi. (Keeping with the Cajun theme.)

And The Old Place doesn’t disappoint, as walking up the rickety wooden steps and stepping inside the restaurant gives way to an unexpected, almost magical experience.  The ceilings are low and the place is dark, lit by dim hanging lamps that look like old-fashioned mine shaft lanterns.  The place is packed and loud, but still intimate, with 5 booths, 3 tables, a private room, and a 20 foot antique bar that runs down the center of the restaurant and serves as a giant dining table.  The place is crowded and compact, with an oddly unbalanced symmetry – on the left, the booths sit low with a high back, nearly sunken into the ground, making you feel like you’re inside a Hobbit hole waiting for Bilbo Baggins to come out and tell you about the night’s specials; but on the right, the bar is so tall that ordering a drink feels like standing below a pharmacist counter and asking for a pinot gris.

The Old Place was founded by Tom Runyon after he moved out West from New York, some 70 years ago.  Runyon was an avid hunter, trapper, and fisherman, and the restaurant reflects this aura through its rustic, pioneer-like, stereotypical Western vibe.  While Tom passed away in 2009, his son, Morgan, continues to operate the restaurant, and pays tribute to his father’s establishment by featuring Tom’s original menu of “Steaks, Clams, and Baked Potatoes.”  The restaurant features a delicious menu, serves beer, and has an excellent selection of wine from the surrounding local wineries, as well as other top producers from California.

All of this is to say that dining in The Old Place is a truly charming, almost transcendent experience – reminiscent of the days when pioneers would ride into town on horseback to get a drink at the local watering hole before heading back to Malibu Creek to pan for gold.  The old saloon and the surrounding mountains take you back to a time when the West was new, unsettled, and unexplored – a romantic era in American history.  So, if you’re interested in drinking some wine, eating some steak, and playing a gold-digger for the evening, The Old Place is a must – a truly genuine experience that can’t be recreated.  [And by “gold-digger” I mean the 1849^er/SF-type, not the stereotypical LA-type.  Go to Surfrider beach for that type.]

Stage One - Setting Up Shop

10 Steps to Starting a Business

STAGE ONE – Setting Up Shop:

Establishing the Legal Structure of Your Business Entity

This article continues the multi-part series describing the 10 Steps to Starting a Business, beginning the first substantive discussion of the 10 Steps.  As discussed in the previous posting, the 10 Steps to Starting a Business are as follows:

1. Business Formation
2. Fictitious Name Statement
3. Apply for Business Permits and Licenses
4. Employer Identification Numbers
5. Verify Employment Eligibility (Form I-9)
6. New Hire Reporting Program
7. Withholding Requirements
8. Insurance Requirements
9. Workplace Poster Requirements
10. Pay Taxes

The 10 Steps have been further distilled into four general stages:  Setting Up Shop; Getting Licensed; Hiring Employees; and Paying Taxes.  This article addresses the first stage of starting a business:  Setting Up Shop.  As previously discussed, Stage One covers the first two steps of starting a business:  1. Business Formation, and 2. Fictitious Business Statement.  Accordingly, the remainder of this article will discuss each of these steps in more detail. 

 

    1. Business Formation.

When starting any business, the first decision you’ll have to make is deciding what form your business can take.  In general, a business will take one of four forms:

1. sole-proprietorship
2. partnership
3. limited liability company (LLC)
4. corporation

Each form of business has different legal, financial, and tax considerations (e.g. limited liability, ownership and control, etc.), and therefore, anyone wishing to open a restaurant or bar (or any business, for that matter), should carefully consider the various options in order to determine which form is best for their particular goals, objectives and desires.

Most small business owners assume they can accomplish this stage simply by using online service providers, such as LegalZoom, to set up a low-cost corporation or LLC.  However, it should be noted that this can be incredibly risky.  For example, business owners will usually choose to operate as a “single-member LLC,” one of the most popular forms of business.  Generally, the main purpose in forming an LLC (or corporation) is to acquire limited liability – i.e. the LLC provides the owner with a liability “shield,” such that if the business is sued for negligence or unpaid debts, the individual owner cannot be held personally liable.  However, what most small business owners don’t know is that this liability shield can be “pierced” if the entity is improperly structured, drafted, or operated.  That means if you are sued, you could be personally wiped out!  And in California, the single-member LLC is the most commonly pierced type of business entity.  Accordingly, it is highly advisable that you consult with an attorney before setting up your business entity.

After selecting the form your business will take, you must then actually establish it as a distinct legal entity – which consists of completing the appropriate applications, drafting the necessary paperwork, and registering your business entity with the State.  In California, after your business is formed, you must register it by filing the appropriate forms with the California Secretary of State.  (Note, if your business is a sole proprietorship, you do not need to register your business with the State.)

      2. Fictitious Name Statement

In addition to forming your business, you will also obviously have to name it.  All persons and entities planning to do business in California under a name different from their personal name must file a Fictitious Name Statement with the County Recorder Clerk's Office where the business will be conducted.

While filing your FBN may seem like an unimportant technicality, it should not be neglected, as it can result in fairly extreme consequences.  For example, Business & Professions Code 17918 essentially specifies that you cannot maintain any legal actions under the trade name unless the FBN has been properly executed, filed and published.  So make sure to complete this step before moving forward.

After completing Steps 1 and 2 – properly forming and naming your business – your business should now be established as a distinct legal entity.  But that is only the beginning.  The next stage is Getting Licensed…

Blind Barber

Blind Barber

10797 Washington Boulevard, Culver City, CA 90232 

 “The term “blind pig” (or “blind tiger”) originated in the United States during prohibition, and applied to lower-class establishments that sold alcoholic beverages illegally.  In contrast to speakeasies, which were usually considered higher-class establishments that offered food and entertainment, a blind pig was usually a dive where only beer and liquor were offered.  The namesake possibly originated from a scheme developed by bar owners to circumvent the law restricting the sale of alcohol, where they would disguise their bar on the outside to look like a forum for "exhibition shows," advertising an attraction (such as an animal), but once inside, then serve their patrons a “complimentary” alcoholic beverage (so they were actually paying for the illegal drink, and the “exhibition show” was merely a front for illicit activity).  For example, the establishment would put on an exhibit of a “blind Greenland pig” (or a “blind tiger”), charge 25 cents to see the pig, but then throw in a gin cocktail for free.”

If you’re reading this review, for my 2 cents, I’d say The Varnish pretty much sets the standard for speakeasies in LA (that speakeasy through a broom closet behind a bar inside a restaurant within the hallow of one of LA’s most historic buildings); and Sweeny Todd's sets the standard for barbershops (that old fashioned barbershop on the edge of Los Feliz where you can page through a collection of tastefully displayed vintage “gentleman” magazines while waiting to get a traditional flat razor shave).

But what if these two places were combined into one?  What if I told you they already are? ...

A few weeks ago, I heard about a new speakeasy in Culver City – a bar inside of a barber shop.  The place was set to open Friday, May 18, 2012.  But I also heard the place had planned a “soft” opening prior to that date.  So naturally, I had to check it out, to verify if these rumors were true.

The place was located in Culver City – a small, but burgeoning hidden gem within LA; a place overtaken by the Munchkins in 1924; a place boasting the World’s Smallest Main Street; and a place revitalized in the 1990s with art galleries and hip shopping centers, and lauded by The New York Times as a “nascent Chelsea.”  But normally, Culver City conjures images of a claustrophobic, crowded, and boisterous downtown area, densely packed with street-side restaurants and no parking.

But this new place was different – located somewhat off the beaten-path, sufficiently west of the main downtown drag.  A place with small-town charm, not yet fully affected by the growing downtown scene, where you can still park on residential streets without needing a special permit (something I understand is virtually unheard of by Culver locals).

I parked on a dark residential street and walked along a quiet sidewalk toward the address I had been given.  Halfway down the block, I spotted a lonely barber pole, with faded red and white stripes, dimly lit and slowly spinning.  But the scene was lifeless – nobody was standing outside, nobody was walking by, no noise was heard, and all the surrounding stores were unlit and closed.  But sure enough, the barber pole led me to a barbershop window (marked only by the words, “Barber Shop,” painted above the shop’s glass doors).  However, the lights were off, the doors were closed, and nobody was inside.  (Pretty clear I had been misled about this “soft” opening.)

But still, because I’m me, I decided to express my frustration to the world by yanking on the door – as through personally disenfranchised that a bar that wasn’t officially open wasn’t open (for me).  But to my surprise…the door opened.  I jolted, almost instinctively, and looked from side to side, not wanting to be seen as inadvertently trespassing.  Still somewhat surprised, I shrugged my shoulders and decided to walk in.

As I entered, I spun around the small shop, noticing the excellent details:  the four old fashioned leather barber chairs, the faded/distressed primer walls, the penny-tiled floors, the pie-tin lamps hanging from the ceiling, the antique wooden bench seats…  Other than the almost non-existent flicker from the overhead pie tins, the shop was silent and dark, as through the last employee forgot to lock up before leaving.  As though I shouldn’t be there.

But as I walked around, I noticed a faint, almost inaudible, sound of music coming from a door in the back of the shop.

I followed the sound to the door, and decided to continue down the proverbial rabbit hole, to see where it would take me.  I turned the knob…  And again, the door opened.  And the sound of music and distant voices suddenly filled into the small room.

Again, I decided to trespass, and walked through this back door, down a dark hallway, and around a corner…

And there, I found The Blind Barber.

The concept was brilliant.  The execution, almost perfect.  The kind of place matching my description of the ideal bar:  a hidden, dimly lit establishment where the staff knows what they’re doing and does it well.

This secret room was dark, very dark, lit only by the small candles sitting atop a few couples tables tucked into the back, and the conservatively-placed wall chandeliers, providing dim light for the leather booths lining the sides of the room.  The place was full but not packed.  Intimate.  And as I walked farther into the room, I noticed a small film crew filming a movie in the back booth.  The whole scene was timeless.

The furnishings were minimal, but classy and appropriate:  black-and-white checkered floors and polished wooden walls, adorned only with lonely pictures of old-timey boxers and handlebar mustaches.

As I approached the bar, I also discovered the staff is amazing – helpful, accommodating, and unexpectedly nice.  I told the bartender I liked scotch, and he suggested I order a Sweeny Todd (ironically?).  He then introduced me to the owner, Jordan Novak.

Jordan and his crew conceived the Blind Barber in New York, and after achieving success, decided to bring the whole operation out west – including the bartenders and barbers.  He also explained the bar is nestled in the gutted remains of what was once a Wells Fargo bank, and that the location was deliberately chosen after being approached by the building’s landlord, who wanted to revitalize the entire development and bring new life to the somewhat tranquil area of town.  I also questioned Jordan about the origin of the name, “Blind Barber,” assuming the name was a subtle reference to the “blind pigs” during Prohibition (or perhaps a descriptive moniker related to stereotypical conditions of an old trade, comparable to a “Mad Hatter” – where hatters went “mad” due to the mercury used in curing felt, speakeasy patrons notoriously went “blind” from drinking too much moonshine).  Jordan assured me the name was not so contrived, and was actually developed independently by his friend, and co-owner, who originally used the name solely for the barbershop.  But I don’t know if I believe Jordan.  Which is fine.  With a quasi-illicit location like the Blind Barber, I’m sure he’s got to keep some things a little mysterious.

All in all, the Blind Barber is awesome.  One of the best bars I’ve seen in quite some time.  And while you may not be able to see a Greenland pig or an exotic tiger for a quarter, you can drink a classic cocktail while getting a haircut.  And that’s enough to bring me back.

Starting a Business

10 STEPS TO STARTING A BUSINESS

INTRODUCTION

An Overview of the Four Stages

This month's posting is the first of a multi-part series discussing the complicated process of starting and legally operating a business - breaking this process down into the following 10 basic steps:

1.                   Business Formation

2.                   Fictitious Name Statement

3.                   Business Permits and Licenses

4.                   Employer Identification Numbers

5.                   Employment Eligibility Verification (Form I-9)

6.                   New Hire Reporting Program

7.                   Withholding Requirements

8.                   Insurance Requirements

9.                   Workplace Poster Requirements

10.               Pay Taxes

These 10 steps have been organized chronologically, and should basically be accomplished in four general stages: Setting Up Shop; Getting Licensed; Hiring Employees; and Paying Taxes.  Rather than diving right into the 10 steps, this first article is meant to lay the foundation for the individual steps by describing the needs of every business within these four stages.  Subsequent postings will then discuss each of the 10 steps in more detail.

STAGE ONE - SETTING UP SHOP (Steps 1-2)

Establishing the Legal Structure of Your Business Entity

The first step to opening any successful business is simply setting up and naming the business entity itself.  This first stage requires two basic steps:

• Business Formation - forming your business entity (e.g. corporation, LLC, LP, etc.) and registering it with the California Secretary of State.
• Fictitious Business Name - naming your business and filing your Fictitious Name Statement with the County Recorder Clerk's Office.

After properly forming and naming your business, your business should now be established as a distinct legal entity. But that is only the beginning...

STAGE TWO - GETTING LICENSED (Step 3)

Obtaining Business Licenses & Permits

While you now have a legally formed business entity through which you can run your business, that alone doesn't mean your business is fully authorized to engage in the type of activities you wish to perform.  After forming your business, you must then obtain a variety of licenses and permits, depending on the type of business you intend to run (e.g. restaurant, bar, retail sales, etc.).

For example, if you are thinking of opening a restaurant in Los Angeles County, you may need to obtain any/all of the following licenses and permits:

• Alcoholic Beverage License ("Liquor License")
• Sales & Use Permit ("Seller's Permit)
• Public Health Operating License ("Food Service Establishment Permit)
• Building and Construction Permit
• Burglar Alarm Permit
• Business License (Business Tax Certificate)
• Conditional Use Permit (required for sales of alcohol)
• Industrial Wastewater Discharge Permit
• Land Use Permit
• Zoning Approval

Since the licenses and permits required for any business will vary depending on the type of business you are operating, it is impossible to provide an exhaustive list of every license or permit you must obtain.  However, since operating a business without all the necessary licenses and permits can subject you to fines and other nasty consequences, anyone operating a business should make it a priority to be fully licensed before commencing operations, or as soon thereafter as possible, to avoid any unexpected penalties.  And since not all licenses and permits can be obtained simply by filling out an application (such as liquor licenses or conditional use permits), it's probably a good idea to employ a lawyer to assist you in getting your business fully licensed. 

Stay tuned for a more thorough discussion of how to obtain all licenses and permits required for your specific business in subsequent postings.

STAGE THREE - HIRING EMPLOYEES (Steps 4-9)

Complying with Employer Requirements

The most complicated, convoluted and burdensome aspect of setting up a business In California is the need to comply with a litany of Federal and State requirements relating to employees.  The moment a business hires even one employee, it is subjected to an overwhelming barrage of government regulations and requirements.  Therefore, it is imperative that any business wishing to hire employees put systems in place to ensure compliance with these laws.  Accordingly, most of the steps required to properly set up and operate a business in California are related to these requirements for hiring employees.  This stage includes the following six steps:

• Employment Identification Numbers - obtain employment identification numbers, at both the Federal and State level.
• Employment Eligibility Verification - verify employment eligibility of all employees using I-9 Form.
• New Hire Reporting Program - comply with the New Hire Reporting Program in reporting all newly hired and re-hired employees to the California New Employee Registry.
• Withholding Requirements - set up systems to comply with Federal and State withholding requirements regarding withholdings from employees' wages.
• Insurance Requirements - obtain all required types of insurance for employees.
• Workplace Poster Requirements - obtain and display all required workplace posters.

Stay tuned for a more thorough discussion of these six steps in subsequent postings.

STAGE 4 - PAYING TAXES (Step 10)

Filing and Paying Your Business Taxes

Now that you've formed your business entity, acquired all necessary licenses and permits, hired employees and complied with all employer requirements, you can begin legally running your business.  But don't forget, there is one very important final step to properly operating your business: paying taxes.  Employers are taxed at both the Federal and State level, and the taxes paid vary depending on a myriad of factors - such as the form of business, the number of employees, etc.  Accordingly, because of the complexities involved in filing and reporting taxes, it is highly recommended you consult with a CPA, tax lawyer, or other experienced tax professional, to ensure that you're properly calculating and paying your taxes (and also to ensure you are not overpaying). 

Stay tuned for a more thorough discussion of how to pay your business taxes in subsequent postings.

SUMMARY

As can be seen, the process of starting and successfully [and legally] running a business in California can be extremely complicated and time-consuming.  Those wishing to start their own business should contact us, as we offer package deals for assisting you with all 10 steps of setting up and operating your business - so you can avoid the headache of navigating these burdensome legal and regulatory obstacles, and just focus on running and growing your business. Something you do best.