How to start a business in Ohio

What do you file before you open in Ohio?

1. Pick a structure

   Most owners choose an LLC or a corporation; the S corp or C corp tax choice comes later. See Ohio LLC guide, Ohio corporation guide, S corp or C corp in Ohio. By trade: cleaning business, handyman.

2. Check and register the name

   Search the Secretary of State records before you pick a name: state name search. The Ohio Secretary of State charges thirty-nine dollars to register a trade name or report a fictitious name. ¹ See Ohio name search guide.

3. File with the state

   Ohio charges the state filing fee once: an LLC costs $99 ² and a corporation's articles of incorporation cost $99 ³. See LLC cost.

4. Name a registered agent

   An Ohio corporation must keep a statutory agent who is either an Ohio-resident individual or an entity with a business address in Ohio. ⁴ Our registered agent service runs through our partner Registered Agents Inc (RAI), the registered agent of record. See Ohio registered agent rules.

Which accounts do you open after you file in Ohio?

1. Get an EIN

   An EIN is the business's federal tax ID. The IRS issues it online, for free, and warns about websites that charge for one. ⁵

2. Open your state tax accounts

   The Ohio Department of Taxation requires every business taxpayer to register, and offers OH|TAX eServices, the Ohio Business Gateway or a paper application to do it. ⁶ See Sales tax permit.

3. Register as an employer

   Ohio's unemployment compensation law covers an employer with at least one worker in each of twenty different calendar weeks, or wages of fifteen hundred dollars or more in a calendar quarter, in the current or preceding year. ⁷ Ohio employers report each newly hired employee not later than twenty days after the hire date, in the manner the Department of Job and Family Services prescribes. ⁸ Ohio's workers' compensation law covers every private employer that has one or more employees regularly in the same business or establishment. ⁹

What keeps your Ohio business in good standing?

1. Check licenses and permits

   Ohio.gov offers business-specific checklists with startup steps and state rules for 200 types of businesses. ¹⁰

2. Calendar the yearly filings

   Ohio has no annual report for LLCs. See Ohio annual report.

3. Use free local help

   Small business advising in Ohio runs through the Small Business Development Centers. ¹¹ The Ohio Business Gateway is a collaborative initiative of state and local government agencies that gives Ohio businesses one website for electronic filing and payment. ¹²

What it costs to start a business in Ohio

Do you need a business license in Ohio?

It depends on the trade and the place. The U.S. Small Business Administration says most small businesses need a combination of licenses and permits from federal and state agencies, and that requirements and fees depend on the business activity and the issuing agency. ¹⁴ Ohio's own rule is in step 8. ¹⁰ Where to look up licenses: Ohio Business Gateway.

How to register a business name in Ohio

Check that the name is free first: state name search.

Also in Ohio

• Commercial activity tax registration. Ohio requires a person whose taxable gross receipts for a calendar year first exceed the exclusion amount to register with the tax commissioner within thirty days, with a registration fee of twenty dollars per person. ¹⁵
• Ohio income tax withholding. Ohio requires every employer that maintains an office or transacts business in the state and pays compensation to an employee who is a taxpayer to deduct and withhold state income tax. ¹⁶

More for Ohio

• LLC guide
• Corporation guide
• Ohio LLC cost
• Name search
• Registered agent
• Ohio sales tax permit
• Annual report
• S corp or C corp

Common questions