Starting a business in Florida should feel exciting, not like you’re stuck trying to translate legal code. You’ll want to know what steps matter, which ones can’t be skipped, and how to protect your business without overcomplicating things.
Florida is one of the most active states for entrepreneurs. According to Florida Commerce in 2023, Florida has the highest percentage of the population that has started a business with 13,238 small businesses per 100,000 residents.That kind of growth brings opportunity, but also competition. Starting smart gives you an edge.
At KEW Legal®, we give straightforward legal advice that makes sense, not just to other lawyers, but to business owners like you. We focus on practical solutions that help you launch with confidence, save time, and avoid expensive missteps.
Key Takeaways:
- Plan smart by starting with market research and a clear business plan to guide your launch.
- Choose the right structure, register properly, and get insured to build a strong legal foundation.
- Understand state-specific requirements like taxes, licenses, and funding options.
- Stay organized and visible by separating finances, using digital tools, and investing in local marketing.
Step 1: Conduct Market Research
Market research helps you understand exactly who your customers are and where your business fits into Florida’s market.
Before launching your business, focus on two main areas, understanding your customers and identifying competitor strengths and weaknesses.
Understand Your Target Audience
Clearly define who will buy your products or services. Know their location, budget, and needs. Engage directly with potential customers through local events, Florida-based social media, or community groups to gather accurate insights.
Analyze Competitors and Spot Opportunities
Evaluate your local competition. See what’s working for them, note customer complaints, and identify gaps your business can fill. Stay alert to Florida-specific trends, like changing demographics or rising demands, to position yourself for success.
Step 2: Choose the Right Business Structure
Picking the right business structure impacts your taxes, liability, and even how you run day-to-day operations.
Most new business owners in Florida go with an LLC, and for good reason. Based on data from the Florida Department of State, there were 526,475 new LLC filings in 2024, compared to about 76,000 new for-profit corporations.
Here are the most common business structures:
LLC (Limited Liability Company)
An LLC is popular with new entrepreneurs in Florida because it’s straightforward and protects your personal assets. If someone sues your business, your home, savings, and other personal belongings stay safe. Plus, LLCs keep taxes simple, you report profits or losses directly on your personal tax returns.
As of early 2025, LLCs account for roughly 2.5 million of Florida’s 3.6 million active business entities.
Corporation
Corporations offer the strongest personal liability protection and make raising money easier if you’re looking for investors. But they’re more complicated to manage. You’ll face stricter rules, regular board meetings, detailed record-keeping, and additional paperwork. Corporations pay taxes separately, meaning your profits might get taxed twice, first at the company level, then again when you pay yourself.
Sole Proprietorship
This is the simplest option and requires the least paperwork. It means you run your business under your own name, and there’s no legal distinction between you and your business. There is a downside since you’re personally responsible for any business debts or legal problems. This could put your family’s savings or home at risk.
Step 3: Write a Detailed Business Plan
A written plan gives you clarity and helps avoid expensive mistakes early on. Not writing out a business plan can have costly consequences. According to a Wells Fargo/Gallup study, only 33% of small business owners actually have a written plan.
Key Sections to Include
Break your plan into simple, workable parts:
- Executive Summary – A short overview of your business idea and goals.
- Market Analysis – A quick breakdown of your target audience and competition.
- Services or Products – What you’re selling, and how it solves a real need.
- Marketing Plan – How you’ll attract and keep customers in Florida.
- Operations – Daily tasks, suppliers, and staffing, if any.
- Financial Projections – How much you expect to make, spend, and need to get started.
Make It Practical
Use real numbers where you can. Include startup costs, monthly expenses, and income goals, even rough estimates can help with funding.
For ease, download a free business plan template or use online tools that walk you through each section. Choose a format you’re comfortable editing over time, since your plan will evolve as your business grows.
Step 4: Secure Funding for Your Business
Though getting funding for your business might not be easy, it is within reach. In 2023, the SBA approved $2.23 billion in 7(a) loans for small businesses in Florida. The key is knowing what amount you need and what funding path makes sense for your business type.
Common Funding Options for New Businesses
You don’t need a huge loan to start smart. Here are a few ways to get the cash you need:
- Personal savings – No interest, no approval process. Just make sure you’re not risking money you can’t afford to lose.
- Friends and family – Be clear about repayment and put everything in writing.
- SBA microloans – Backed by the Small Business Administration, these are great for first-time Florida entrepreneurs. Loans go up to $50,000.
- Local grants – Some cities and counties offer small business grants. These don’t need to be repaid, but usually require an application and plan.
- Investors – If you’re starting something scalable, you might attract angel investors or venture capital. Be ready to give up equity.
Make Your Business Plan Work for You
Lenders and investors want to see that you’ve done your homework. A solid business plan, especially with clear financial projections can improve your chances of getting approved.
If you’re not sure where to begin, start small. Even a few thousand dollars can go a long way when you’re careful with expenses. Florida has a growing support system for new entrepreneurs, and many programs are designed to help first-time business owners..
Step 5: Register Your Business Legally
Florida continues to lead the nation in new business registrations. The volume speaks to both opportunity and the importance of doing things right from the start.
Registering officially protects your name, keeps you compliant, and gets you set up for taxes and licensing.
How to Register Your Business in Florida
The process depends on your business structure:
- LLC or Corporation: File Articles of Organization (LLC) or Articles of Incorporation (Corporation) online through Sunbiz.org. There’s a filing fee, around $125 for LLCs.
- Sole Proprietorship: If using a name other than your own, register a “Doing Business As” (DBA), also called a fictitious name, through Sunbiz.
Avoid Common Legal Mistakes
Getting your legal setup right from the beginning keeps you out of trouble later. If anything feels unclear, this is a good time to ask a business attorney to double-check your filings. Here are some common mistakes to consider:
- Don’t skip the name search, your filing could get rejected if your name’s already taken.
- Make sure your business address is correct. It needs to be a real, physical location.
- If you’re forming an LLC, appoint a registered agent who can receive legal documents on your behalf.
Step 6: Obtain Necessary Licenses and Permits
If your business needs a license in Florida, you’re not alone. The Florida DBPR reported 1.7 million licensed businesses and professionals as of 2022, with nearly 300,000 new licensees added in just one year. The state has also cut average processing times, making it easier to get approved quickly.
Still, every city and industry is different, so take the time to check what applies to you.
Find Out What You Need
There’s no single list that covers every business. You’ll need to check a few places:
- Florida Department of Business and Professional Regulation (DBPR) – Handles licenses for contractors, restaurants, salons, and more.
- Florida Department of Agriculture and Consumer Services – Covers businesses like food sales, pest control, and charities.
- Your city or county – Most local governments require a business tax receipt (also called an occupational license). Check your city or county website.
Step 7: Set Up Your Tax Structure
Most small businesses in Florida are set up as pass-through entities, like LLCs or S-corps. That means they’re not subject to Florida’s 5.5% corporate income tax. The state also has no personal income tax, which is a big plus for owners.
Even so, small businesses still carry a large tax burden through federal and payroll taxes, and they employ over 40% of the state’s private-sector workforce, according to the SBA.
Get an EIN from the IRS
Most businesses need an Employer Identification Number (EIN), even if you don’t have employees. It’s like a Social Security number for your business and is used for taxes, opening bank accounts, and applying for licenses. You can get an EIN for free through the IRS website.
Register for State Taxes
If you sell physical goods, you need to collect sales tax. If you have employees, you need to register for reemployment (unemployment) tax. Both are handled through the Florida Department of Revenue.
You’ll need to:
- Apply for a sales tax certificate if you sell products.
Set up payroll tax accounts if you plan to hire. - File returns on time to avoid penalties.
Understand the Corporate Transparency Act
As of January 1, 2024, most small businesses are required to report their beneficial ownership information to FinCEN under the Corporate Transparency Act. This applies to LLCs, corporations, and other entities formed by filing with the state.
You’ll need to file:
- The names, addresses, and identification details of anyone who owns 25% or more of the company or controls it.
- The report within 30 days of formation (for new entities), or by January 1, 2025, if your business was created before 2024.
Failing to file could result in steep fines or penalties, so it’s worth checking with your attorney or accountant to make sure you’re covered.
Stay Compliant
- Keep business and personal expenses separate.
- Use accounting software or hire a tax pro early on.
- Save all receipts, invoices, and tax documents.
Step 8: Open a Business Bank Account and Establish Financial Management
Setting up the right bank account and tracking tools helps you stay lean and in control from the start. Nearly 97% of small business owners keep their business and personal finances separate, according to a 2023 NFIB survey.
Open a Business Bank Account
Most banks in Florida offer business checking accounts. Choose one with:
- Low monthly fees
- Online banking and mobile app access
- Easy integration with accounting software
Consider starting with a local credit union or a bank that supports small businesses. Some even offer startup perks like fee waivers or cashback.
Choose Simple Financial Tools
Use tools that help you track income, expenses, and tax deductions from day one. A few popular options for Florida entrepreneurs:
- QuickBooks – Great all-around solution for bookkeeping and tax prep
- Wave – Free for basic accounting needs
- FreshBooks – Ideal for service-based businesses that invoice clients
Build Financial Habits Early
- Pay yourself consistently, even if it’s a small amount
- Set aside money for taxes monthly
- Track every expense, no matter how small
Step 9: Obtain Insurance Coverage
Many Florida businesses are exposed without realizing it. A 2023 Insurance Journal survey found that 30% of small businesses carry no insurance at all, and 75% are underinsured. Worse, over 70% of owners don’t fully understand what insurance they need.
Getting the right policies in place protects you from lawsuits, accidents, and unexpected losses, things that could shut you down if you’re not covered.
Common Types of Business Insurance
Here are the main coverages most Florida small businesses should consider:
- General Liability Insurance – Covers accidents, property damage, and legal fees. Essential for almost every business.
- Professional Liability Insurance – Protects you if a client claims your service caused harm or loss. Especially important for consultants, designers, and service providers.
- Workers’ Compensation Insurance – Required in Florida if you have four or more employees (or just one if you’re in construction).
- Commercial Property Insurance – Covers damage to your office, equipment, or inventory from things like storms or theft.
- Business Owner’s Policy (BOP) – Bundles general liability and property insurance at a lower cost.
Step 10: Implement an Effective Marketing Plan
Most small businesses today know that digital visibility matters. Marketing isn’t just about getting your name out there, it’s how people decide whether to trust you, contact you, or keep scrolling.
Build Your Brand Identity
Your brand is more than a logo. It’s how people feel when they interact with your business. Start with:
- A clear business name and tagline
- Consistent colors, fonts, and visuals
- A simple website that explains what you offer and how to contact you
Focus on Local and Digital Marketing
Since you’re building a business in Florida, start by targeting your local area:
- Claim your Google Business Profile so you show up in Maps and local search results
- Set up social media pages where your audience already hangs out (Facebook, Instagram, or LinkedIn)
- Join Florida business directories or local Chamber of Commerce listings
- Encourage happy customers to leave online reviews since they build credibility fast
Use a Simple Marketing Checklist
Marketing doesn’t need to be overwhelming. Stick to these basics:
- Post on social media 2–3 times a week
- Collect emails and send monthly updates or promotions
- Track what’s working using free tools like Google Analytics
- Stay consistent, even when things are slow
Make Your Florida Business Official With the Right Legal Partner
You’ve got the steps. You’ve got the vision. Now it’s time to make it real, and make sure it’s protected from day one.
KEW Legal® helps Florida entrepreneurs build strong, legally sound businesses without the confusion or delays. We give clear, practical guidance that covers what matters most, so you can move forward knowing every detail’s covered.
Ready to get started? Reach out here and let’s make your business official.
