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How To Start A Online Software Company?

Started by September 21, 2008 12:16 PM
15 comments, last by EmptyVoid 16 years, 2 months ago
Well I used to write some applications and sell them on ebay, I made some money but it was not worth my time mostly because ebay would take out 30%-50% of my profits. So I figure if I create a web page for selling software it may be worth my time but I have more complex software that I would like to get copyrighted and I would like to sell it under a company name. So what I'm asking is how to register a company and get copyrights for the software I create under that name? I also would like to register my trademarks and if there is anything else I should know please post. If possible it would be nice to do this all online as I have no vehicle and would need to walk 5 miles to the bus stop.
This is your life, and it's ending one minute at a time. - Fight club
Have you done even a cursory search on the subject? The rules vary from state to state - you'll have to look up the laws for your specific state.

This is a legal procedure. You can get information on people's experiences online, but you ultimately want to consult a lawyer before you do anything. Good luck!
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Quote: Original post by Oluseyi
Have you done even a cursory search on the subject? The rules vary from state to state - you'll have to look up the laws for your specific state.

This is a legal procedure. You can get information on people's experiences online, but you ultimately want to consult a lawyer before you do anything. Good luck!


OK but I have a few questions about that.
1. Where would I get in contact with a lawyer who is specialized in this field?
2. How much would this cost?
3. I've heard of a few companies who go under a domain name for example "Copyright ________.com" can you copy right something under a domain name?
This is your life, and it's ending one minute at a time. - Fight club
Quote: Original post by EmptyVoid
OK but I have a few questions about that.
1. Where would I get in contact with a lawyer who is specialized in this field?
2. How much would this cost?
3. I've heard of a few companies who go under a domain name for example "Copyright ________.com" can you copy right something under a domain name?


Three words: Yellowbook dot com.

Seriously. Goto yellowbook.com, enter "small business lawyer" in the "product/service" field, enter your location in the "location" field, and click "find it". Then start calling the firms listed, explain that you are trying to start a business and need some advice, ask them if they provide such legal advice and ask for a cost estimate for consultation.


There was a thread not too long ago on a new startup company that is supposed to make it a bit easier for you. You can do the research about them here and here.

I'd still listen to Oluseyi's advice though [wink] That's the best bet.
If you're really wanting to start an online business (not just getting your feet wet or anything), then definitely consult with a lawyer. Get in touch with an accountant, preferably one with experience in online digital media. Set aside a decent amount of money to pay any consultation fees with an accountant and lawyer. You'll probably need some money set aside for advertising, graphic design (find a decent freelancer), hosting, and payment processing as well. A lot of this stuff can be handled online, but you'll want to speak with the lawyer and accountant in person.

Starting a business is an extremely ambitious and often times costly project, good luck. I've given it a shot before -- and even though I didn't get very far, it was a very worthwile experience. I was merely experimenting though, managing things in my spare time. It was a very small scale thing. Had I gone full time with it the results may have been different.
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How does Gamedev.net work, are they a registered company? They do offer the GDNet+ service and other ways in which they make money. Also they probably need to protect there trademark.
This is your life, and it's ending one minute at a time. - Fight club
Quote: Original post by EmptyVoid
How does Gamedev.net work, are they a registered company? They do offer the GDNet+ service and other ways in which they make money. Also they probably need to protect there trademark.

Check the bottom of the page:
Quote: GameDev.net™, the GameDev.net logo, and GDNet™ are trademarks of GameDev.net, LLC

GameDev.net's a limited liability company.

Quote: Original post by Trapper Zoid
Quote: Original post by EmptyVoid
How does Gamedev.net work, are they a registered company? They do offer the GDNet+ service and other ways in which they make money. Also they probably need to protect there trademark.

Check the bottom of the page:
Quote: GameDev.net™, the GameDev.net logo, and GDNet™ are trademarks of GameDev.net, LLC

GameDev.net's a limited liability company.


what does this mean?

"LLCs can lose their tax advantage without the partnership structure. The possible label "disregarded entity" for income tax purposes singles out the one-member owner of an LLC as actually earning income and deductions directly. It is the owner, then, who reports as a business proprietor, rather than as an LLC operating an active trade or business. An LLC passively investing in real estate and owned by a single member would have its income and deductions reported directly on the owner's individual tax return on a Schedule E tax form. And an LLC owned by a corporation--in other words, an LLC with a single corporate member--would be treated as an incorporated branch and have its income and deductions reported on the corporate tax return, creating double taxation"

Does that mean since I would be the only owner I would need to pay double the normal taxes?
This is your life, and it's ending one minute at a time. - Fight club
I don't know. I only know a limited amount about the benefits of the Australian business types, and know little other than the broad details about U.S. company types. And I'm sure the tax laws vary from state to state so it will be very specific. I advise expert help.

I'm planning on starting my own small business in a few months. My strategy will be to first write a business plan, then to take that to local small business support centres, then to put it past an accountant and a lawyer for their advice on things like company type.

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