Friday, October 18, 2013

Chapter 10- starting a business in Augusta, Georgia

Chapter 10- Opening a business in Augusta, GA
     The business atmosphere in Augusta is general receptive and in favor of Laizze Faire style rule. The South is generally lax on regulations to begin with, Georgia is more extreme among it Southern  neighbors and Augusta, inside Georgia is itself one to believe in self regulation and just leaving people alone. Businessman in Georgia are very easygoing and adaptive to these government hurdles. The state government of Georgia has done a lot of assuring the investing crowd that Georgia is not participating in all the Federal Governments regulatory agendas.

     To open a business in Augusta has got to be one of the easiest places to do so. all you need is to get your tax situation right with the IRS, the State of Georgia and buy your business license and that's it. you do need a license to operate in Augusta, Georgia.

     Operating a small business from home.

     You can operate a small business from your home if you acquire a home-based business license. To obtain this permit, your home business must meet the following requirements:


  • Your business will not increase the amount of traffic in your neighborhood
  • Your business will not require any advertisements to be posted on or near your home
  • A commercial vehicle will not be parked in front of your home
  • Your business materials will not be visibly stored outside of your home

     You may apply for a home based business license at the Zoning and Planning Department, located at 525 Telfair Street, Augusta, GA 30901 (706-821-1796), fill out the appropriate applications, and pay a $100 fee.

Federal Licenses and Permit

     Employer Identification Number (EIN)- Employers with employees, business partnerships, and corporations, must obtain an Employer Identification Number (EIN) from the U.S. Internal Revenue Service. The EIN is also known as an Employer Tax ID and Form SS-4.

State Licenses and Permits

     Georgia Tax Registration- Businesses that operate within GA are required to register for one or more tax-specific identification numbers, licenses or permits, including income tax withholding, sales and use tax (sellers permit), and unemployment insurance tax. Contact the following agency for more information about business registration and your tax obligations

     Business Entity Registration - Forms and Application- If your business is a corporation, a non-profit, a limited liability company or a partnership (limited, or limited liability) you must register with the following state agency.

     If your business is a sole proprietorship, you do not need to register your business with the state. However, many states require a sole proprietor to use their own name for the business name unless they formally file another name as a trade name, or fictitious name.

Workers Compensation Insurance

     Businesses with employees are required to carry Workers Compensation Insurance coverage through a commercial carrier, on a self-insured basis, or through the state Workers Compensation Insurance program.

     In order to start and operate your business, one must comply with a wide range of local, state and federal rules. The first and most simple is to get a business license from the city. The License and Inspections Department can be reached at (706) 312-5050 for further questions. The process is very fast and simple.

Workers Compensation Insurance 

     Businesses with employees are required to carry Workers Compensation Insurance coverage through a commercial carrier, on a self-insured basis, or through the state Workers Compensation Insurance program. Businesses with employees are required to pay unemployment insurance taxes under certain conditions. If your business is required to pay these taxes, you must register your business with your states workforce agency.

Local Permits

     You may be required to apply for permits and licenses from your local government (e.g., city or county). Every place has different requirements. The following are common types of local permits and licenses.
  • Business Licenses / Tax Permits - from your city or county clerk or revenue department. Many jurisdictions require a trader's license or tax certificate in order to operate.
  • Building Permit - from your city or county building and planning department. This permit is generally required if you are constructing or modifying your place of business.
  • Health Permit - from your city or county health department.
  • Occupational Permit - from your city or county building and planning development department. This permit is required for home-based business in some jurisdictions.
  • Signage Permit - from your city or county building and planning department. Some jurisdictions require a permit before you can erect a sign for your business.
  • Alarm Permit - from you city or county police or fire department. If you have installed a burglar or fire alarm, you will likely need an alarm permit.
  • Zoning Permit - from your city or county building and planning department. This permit is generally required if you are developing land for specific commercial use.
  • Depending on the nature of your business, you may need other types of licenses specific to your business. 
Tax Amount Table, for estimated gross receipts

BracketGross ReceiptsTax Class
1
Tax Class
2
Tax Class
3
Tax Class
4
Tax Class
5
Tax Class
6
1
$1 - $30,000
$89
$89
$91
$91
$92
$92
2
$30,001 - $100,000
$96
$98
$101
$105
$107
$109
3
$100,001 - $200,000
$107
$113
$120
$128
$133
$141
4
$200,001 - $300,000
$120
$131
$143
$154
$164
$176
5
$300,001 - $500,000
$141
$157
$176
$194
$210
$229
6
$500,001 - $750,000
$171
$197
$226
$253
$281
$309
7
$750,001 - $1,000,000
$204
$242
$281
$319
$359
$397
8
$1,000,001 - $2,000,000
$287
$353
$420
$486
$553
$619
9
$2,000,001 - $4,000,000
$486
$619
$752
$886
$1,019
$1,152
10
$4,000,001 - $6,000,000
$752
$975
$1,196
$1,418
$1,640
$1,861
11
$6,000,001 - $8,000,000
$1,032
$1,329
$1,640
$1,950
$2,261
$2,572
12
$8,000,001 - $10,000,000
$1,285
$1,684
2,083
$2,483
$2,882
$3,281
13
$10,000,001 - $12,000,000
$1,551
$2,038
$2,527
$3,015
$3,504
$3,991
14
$12,000,001 - $15,000,000
$1,884
$2,483
$3,082
$3,681
$4,280
$4,879
15
$15,000,001 - $20,000,000
$2,417
$3,192
$3,969
$4,745
$5,521
$6,299
16
$20,000,001 - $30,000,000
$3,414
$4,523
$5,633
$6,742
$7,851
$8,961
17
$30,000,001 and over
$4,745
$6,299
$7,851
$9,404
$10,957
$12,372

(Professionals may pay a flat $400 fee for obtaining their business license)


Tax Allocation District, Enterprise Zones and Opportunity Zones

     Augusta offers various types of incentives to encourage revitalization of distressed communities under provisions of the Official Code of Georgia and the Rules of the Georgia Department of Community Affairs. These incentives are available for businesses that are located within the Tax Allocation District, Enterprise Zones and Opportunity Zones.

     Tax Allocation District (TAD)

     Augusta’s Tax Allocation District (TAD) was adopted on May 5, 2009 pursuant to voter approval in November 2006. Beginning in 2009 incremental tax revenue collected in the district has gone into a fund to supplement funding by public and private sources for public improvements that spur private redevelopment activity. Tax exempt bonds may be issued to pay for infrastructure and other eligible redevelopment costs in partnership with private developers. This investment will generate new jobs and new sales tax revenue and it will provide a positive mix of new and redeveloped living, office, shopping, public use and recreational facilities on properties within the TAD that are currently undeveloped.

     Tax Allocation Districts are Georgia’s version of tax increment financing, which allows a local government to capture tax revenues attributable to increases in property values within a prescribed development area and use those revenues for neighborhood improvement projects. Augusta currently has one TAD. To view a map of this district please click here. To view more detailed information regarding TAD please click here to go to the Georgia Department of Community Affairs web site. If you have questions regarding Augusta TAD please call George Patty at the Augusta Richmond County Planning Commission 706-821-1797.

     Enterprise Zones (EZ)

     Enterprise Zones are designated geographical areas which suffer from disinvestment, underdeveloped, and general economic distress. In an effort to encourage revitalization in these distressed communities, Georgia law permits cities to create districts where ad velorum taxes are abated for up to 10 years and other incentives are provided to private employers who create five or more new jobs. To view maps of our three Enterprise Zones currently in existence please click here. To see a list of addresses that are within each of the Enterprise Zones please click here. For more complete information and the program guidelines please click here to visit the Georgia Department of Community affairs website. If you have questions regarding our Enterprise Zones call George Patty at the Augusta Richmond County Planning Commission at 706-821-1797.

     Opportunity Zones (OZ)

     Opportunity Zones, similar to Enterprise Zones, are designated geographic areas which suffer from economic distress. In order for an area to be designated as an OZ, under the DCA rules the area first has to be an Enterprise Zone or have an Urban Redevelopment Plan in place pursuant to the DOA website which you can access by clicking here. Our Opportunity Zones are geographically identical to our Enterprise Zones. To see a list of addresses that are within each of the Opportunity Zones see Enterprise Zones in the paragraph above. Businesses that create more than two jobs within these areas qualify for a Georgia Tax Credit of $3500 per job. If you have questions regarding our Opportunity Zones s please call George Patty at the Augusta Richmond County Planning Commission at 706-821-1796.

Customer profiles of Augusta, Georgia

     The consumer in Augusta, Georgia can almost be broken down into the 5 pillars I have outlined in other areas about the Economy of Augusta. Essentially businesses in the CSRA survive off of the 5 pillars of Augusta's Economy, Military, Medical, Manufacturing, Nuclear and other. SRS, Voglte, the Medical District, large manufacturers and the slice of everything else is the source of all the customers in the CSRA. It is important to think what kind of people they are, what they like, where they are at, how many times will they visit your business and many other aspects. These customer profiles are examples of customers in the CSRA and their particular circumstances.

Jonathan Sapper- Jonathan is a 62 year old Vietnam Veteran. He flown a helicopter for the war and since started a helicopter school in Atlanta and lives in Augusta for the peace, quiet and the lack of traffic. He has an income of around $100,000, from owning the business, a year and Social Security payments of around $15,000 a year and plans on retiring full time and moving to an even more rural part of the CSRA. He has a wife, 3 grandchildren, which he helps support due to tough economic conditions on recent college graduates and 2 dogs. His buying patterns reflect his caregiver status, a recent purchase of a Toyota Prius for his granddaughter, a new laptop for his wife, who has cataracts and needs high quality resolution, and dog food for his 2 German Sheppard's. Jonathan is interested in buying a lot of things, but reads the newspaper, does not watch TV, does not get on the internet and does not participate in social circles. He is a hard person to reach and really would rather stay home than be out spending money.

Mary Beth Vine- Mary Beth is a 29 year old widowed mother of 2 9 year old twins in the city of Augusta. She may be a school teacher at a local high school and her husband died in a tour in Iraq. She was set straight with paying for his funeral, the grief and the bills he left behind. She took the money, bought a modest house, a modest car and has the rest invested. Mary-Beth is the ultimate caregiver, spending all of her income on items for her 2 boys. She ensures that they not only have their nutrition, shelter, food and other basics, but also ensure hedonistic pleasures, like Video Games, Vacations and trips to places like Chuck E. Cheeses.

Barry Maple- Barry Maple is a young diesel engineer in South Augusta. Born, raised, trained and bred for diesel work, he plans on starting a business one day fixing large engines. Barry spends much of his money on his new land, home and car. He has just taken on a lot of debt for his expected income in the future. The bank feels good lending to him, as Diesel mechanic work is consistent and well paying and enduring. Barry Maple spends the little money left over from his new bills on drinking alcohol and meeting woman in the clubs of South Augusta. He also spends some of his money on fixing his truck, a 1985 F-150 on a suspension kit.

Jeffery Lee- Jeffery Lee is an electrician at SRS. He is part of the local union and has been for 3 years. He is a young, 25 year old electrician and is finally making some serious money in his life. He lives with his mother and father and helps them with the bills and with food, being they both lost their jobs permanently in the 2008 recession. Jeffery has a girlfriend, who he is thinking of marrying and they spend a lot of time making pottery and glass ornaments in their side time. Jeffery Lee is very simple and does not participate in many events downtown or even going to restaurants. He values his land that he is to inherit, working in the yard and most of all, being an electrician. He makes about $50,000 a year and spends most of it taking care of his dying parents and living a normal life.

Nareem Baker- Nareem is a barber in South Augusta at 58 years of age. He runs a small one booth barber shop on Peach Orchard and makes about $35,000 a year. He does not cut much hair and is looking to bring on some family members to take over the business. Nareem spends a lot of his free time and money on reading, researching and preaching from the Bible. He travels to churches all over the CSRA and gives sermons on particular parts of the Bible and he wants to one day start a church with some of the customer he cuts hair for. Nareem has barley any consuming power after paying his bills and lives in an apartment on Lumpkin road in South Augusta.

Sandra Pennington- Sandra is a secretary for a large contractor who build hundred million dollar subdivision. She is in charge of making sure the office is running well and works about 60 hours a week easily. She is a graduate of Augusta State University (now Georgia Regents University) and plans on going back to get her MBA one day. She makes well over $100,000 and can pretty much get anything that she wants. she has 4 kids and a husband that teaches physics in the Medical College. Sandra represents an interesting consumer. She has preference for her time and not money, so her buying pattern reflects that. She is pulled by businesses that seem "Fast" and simple. She is always in a busy mindset and is the ultimate type A achiever. Sandra is a caregiver, but her income covers much more than that and goes into the most subtle hedonic pleasures, such as a warmed toilet seat, or a rose stained window. Sandra and her husband live in Martinez and are 100% happy with its location/schools and taxes.

George Summers- George Summers is a 21 year old pesticide applicator for farms in East Georgia, around the CSRA. George works with a new particular non-toxic pesticide that seems to be gaining traction with the agriculture sector. George is the news companies Southeast man and is responsible for operating jobs in this part of the country. the hours are long, the pay is horrible and George is sticking his neck out for this new business. If it does well, he may be rewarded with a senior position. If not, then he will have wasted a lot of time with no result. He makes about $40,000 a year, lives in a South Augusta neighborhood and spends most of his time on the road. He barley spends any money in Augusta, as it usually goes for food and traveling expenses. George has no wife and will probably be a bachelor for the next 10 years.

Ashley Townsend- Ashley Townsend is a 41 year old principal at a local Catholic school. She is paid very low, even for education standards and is more concerned with her work in charity than in compensation. Ashley works a lot, lives in the school and is wholly concerned with its well being. she makes a meager $24,000 after room & board and spends that all on the school itself, whether ensuring that a parent has gas money to drop off, or pick up their child, ensuring that a boy has a new pair of shoes or numerous other calls for charity and kindness. Ashley Townsend is married to a author, who is working on a series of mystery novels that may take off in the future, as they are having renowned success right now.

Matt Tammerhill- Matt is a local solider, at 22 he is young and full of life. He has no bills and 1005 discretionary income. He is not experienced in life, being that he ran way from home and found his way to Augusta in the Signal Corps and has found his career path. He spends a lot of his money on cab rides, alcohol, dining with woman, taking friends to the movies and paying for gas for trips to other cities to do the same thing. Matt is high energy and is looking for a fun business with other young people that share his interest of being wild and young. Matt only makes about $300 a week in disposable income, but it is all put into the circulation of the Economy of Augusta, usually with high margins on the items sold. Matt will get married and move his consumption to the more traditional roles as he gets a family.

Paul Saab- Paul is a 37 year old nuclear engineer at SRS, he builds the pre-fabricated pieces that make up the nuclear reactors in the CSRA. The job is intense and take a lot of stress, the government ensures that the workers do not work more than 40 hours a week to combat fatigue mistakes and Paul spend about another 15 hours a week in meetings and discussing blueprints for new construction. Paul has 5 kids, all girls and a wife, who is a ICU nurse. Paul and his wife make a lot of money, but cannot find time to spend together with their kids, being they work on different time schedules. This rarity makes the trips they do manage to make together as family more consumptive, in dollar terms, than your average similar nuclear engineer and his wife. Paul and his wife are looking for clean places to eat, shops with rare merchandise in them and very cultured and international entertainment, not many kind of local talent meets their very picky standards.

Debra Appletree- Debra is a 27 year old manager at Chick-Fil-a with 2 kids and a husband who works as a policeman in the RCSD. Debra works a lot and is on the way for promotion, she arrives at work early and leaves late. She owns a small house in Central Augusta that is fitting to both her and her husbands needs. He 2 kids are 9 and 7 and attend CT walker, one of the best elementary schools in America and are both very bright from constant good parenting, nutrition and a good school environment . Debra and her husband like to do outdoor activities and enjoy Augusta for that more than anything. It is not important what happens Downtown to them, they do not eat out or go to events. They spend their money on hiking, rafting, biking and other outdoor ventures, usually to blow steam off from their stressful jobs.

Morgan Bessemer- Morgan is a nurse at a pediatric clinic in South Augusta, she is 21 and has just received her certification. She has graduated from Georgia State University in Atlanta with an early program completed and now wants to work in Augusta, Georgia and live close to family. She currently stays with her mom, out of preference, not out of economic need and has a close tie with even the remote parts of her family. She has a boyfriend, who is attending college and graduates next year in computer software design and wants to attend Georgia tech. Morgan makes about $45,000 a year with the advancement and opportunities to make much more being constantly bestowed upon the young nurse. She spends of her money on shopping and making sure she has the best clothes and saves the rest through several bank accounts to try and teach her some fiscal discipline and self restraint. Morgan will move out and buy a huge house one day on "The Hill" and start a large family.

Morrison Marketing
Augusta, Georgia
706-504-5754
MichaelMorrisonAugusta@gmail.com

No comments:

Post a Comment