Start a Business in Wisconsin

1. Create a Business Plan

Before you can bring in your first dollar, you’ll need a business plan. Taking the time to write a plan will help you understand all the opportunities and hazards you may face — which is beneficial to have on hand as you begin. As a bonus, creating a business plan will also make you more attractive to investors.

What to Include in Your Business Plan

Your business plan should be as detailed as possible. If you aren’t sure what to include, here are some suggestions:

• A clear description of your business idea.
• What type of business entity you want to operate as.
• Your target customer. Will they be upscale restaurant guests in Milwaukee or hunters in Buffalo County?
• What makes your business unique?
• What are your potential problems, and how will you overcome them?
• Estimated business financials for a minimum of three years, including the costs needed to launch your business.
• Your sales and marketing plan, which will show where you’ll reach your customers. In Wisconsin, that could mean having a variety of sales plans that target anything from urban millennials and suburban families to vacationers.
• Your plan to finance your business for the first six to 12 months. 

Check out our guide for more information on writing a business plan.

3. Determine Your Business Costs

You’ll greatly benefit from researching how much it’ll cost both to start your business and to operate it each month. There’s no sense in buying equipment if you can’t afford to rent the month after you open. Knowing your costs could also help you pick the right city in Wisconsin as you get your business off the ground.

Calculate Your Operating Expenses

When calculating your total costs, it’s smart to factor in operating expenses for at least six months, with the assumption that you’ll have zero sales. This is a safe estimate that helps provide a financial cushion for small business owners as they grow.

Consider Taxes as an Expense

One cost that’s essential to understand, and that often comes back to bite business owners later, is taxes. Ensure you understand the various state tax rates before you start selling, so you can factor in what your Wisconsin business may owe from day one. 

4: Choose a Business Name

It’s essential to create a business name that’s easy for your target customers to understand, regardless of your industry or business type. Having a business name that immediately resonates is a bonus. This could help you attract customers you aren’t actively selling or marketing to, saving a lot of money down the line. 

Check if Your Name is Available

Another vital thing to keep in mind when creating a business name is to make sure it’s available. There are two ways to check if a name is taken by someone else. The first is to see if it’s already reserved by searching through the Wisconsin business registration portal. You can’t legally do business under the same name as a company that owns the right to that name in the state. If you need assistance with a business name, we can help.

Get a Matching Domain Name

Check if a well-known national business already has your name, regardless of your home state. If it’s taken, it will make it tough to create an online presence. It’s smart to choose a new name with a readily available domain. This helps provide liability protection from other businesses. We can help you register a domain name.

5. Register Your Business and Open Financial Accounts

Once you’ve reserved your business name, you can officially register to do business legally in Wisconsin. You can do this through the state’s business portal.

Employer Identification Number (EIN)

You’ll need to file for a federal employer identification number (EIN) from the IRS, though this isn’t required for sole proprietors who don’t plan to hire employees. If you’re running a sole prop, you can just use your social security number as your federal tax ID, though this opens you up to potential identity theft. An EIN can also help you get a business bank account with many trusted financial institutions. We’ll go into this more below.

Articles of Organization

Make sure you’ve also created your articles of organization and/or business operating agreement. This process may seem daunting if you’re not familiar with the legalities of small businesses, but we can take the steps on your behalf. Having an experienced partner can give you peace of mind and free you up for more business-critical tasks. 

Business Bank Account

Once you’re officially registered, you can open a business bank account with many financial institutions, get any business licenses you need, and obtain necessary business insurance. To sell anything in Wisconsin, you’ll need a seller’s permit.

Business Insurance

You’ll also likely want general liability insurance to protect your company further. And if you hire employees, you’ll need worker’s compensation insurance.

6. Market Your Business

Now that you can legally do business in Wisconsin, you’ll need to start executing your sales and marketing plan. This is where you’ll need to conduct market research.

Most businesses need both an online and offline marketing strategy. For the online part, you’ll need an online presence via social media and a website.

Company Website

Companies in industries such as business services or eCommerce may find this more important than others, but in today’s business climate, every business needs a website from day one. 

Brand Recognition

Wisconsin is also a great state to create print ads and other materials to build brand recognition. This is especially true in the urban cities of Milwaukee and Green Bay. Word of mouth and business referrals are typically the best sources of new customers, regardless of industry, without any upfront costs. 

Local Wisconsin Business Groups

The most important thing is to get as much attention from customers as you can as fast as possible. Your industry and where your target customers hang out will guide your marketing strategy. Check out Wisconsin’s Small Business Development Center resources to conduct market research.