Start a Business

Developed for entrepreneurs and small businesses alike, Start a PhillyBiz Pathway is for anyone wanting to start and do business in Philadelphia, a city of many historic firsts in business and innovation.

March 6, 2026 • 6 min read

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WELCOME!

BECOME PhillyBiz OFFICIAL

Why is it important and advantageous to form a legally recognized business?

Making your business official, positions it to benefit from many different programs, financial resources, tax advantages, contracting, and other opportunities. In addition, by covering all the bases, you will be providing your business with legal and liability protections that minimize your personal and business risk exposure.

Ensuring your business complies with city, state and federal requirements will position your business for these advantages and benefits. To get there, important foundational work is required to complete and fulfill all incorporation, business registration and compliance documentation requirements.

This pathway provides step by step direction on developing and transforming your business idea into an official business. Turn your idea into a business reality and make it PhillyBiz Official.

Key Takeaways

A streamlined process of forming a legally recognized and compliant business in the Commonwealth of Pennsylvania and the City of Philadelphia.
A checklist outlining the essential steps involved in establishing a legally recognized business in Philadelphia – PhillyBiz® Official
Links to sources to research and learn more about specific requirements on how to turn your idea into an official business
Links to sources and resources to help with completion of specific actions or tasks
Business support organizations offering one on one support
Business support organizations offering ongoing or long term support

Research Your Business Idea and Needs Thoroughly Before Starting The Process of Forming Your Business

Business is a highly competitive endeavour, and to succeed requires proper planning, preparation and delivery.

The purpose of preformation steps and related tasks is to facilitate a seamless experience in completing the requirements of forming or starting your business. Therefore, research, advance planning and preparation for all needs and wants for your business idea is key to avoiding frustrations along the way, and will save you time and money.

US AREAS

Research Your Idea In Detail And What It Means As A Business

Business ideas are about identifying and pursuing unmet opportunities, rewarding the entrepreneur or business owner financially, in the form of business profits.

To make well informed decisions that position you for success, it is important to:

Conduct market research to see if there is a product market fit for your idea, and to validate its viability and potential for success in the real world. Thorough and useful research includes knowing your target audience, customers, clients, industry, and competitors.

Analyze your research findings, and compile those findings into a detailed business plan and make decisions related to this checklist.

Write A Comprehensive Business Plan

Solidify your idea into a well thought out business plan that is based on thorough product-market fit research, analysis and a defined strategy for long term success. Writing a comprehensive business plan provides you a full picture understanding of your business and prepares you to confidently proceed with completing official business formation and operation requirements.

Know Your Business Offerings

What products and services will your business offer?

Know Your Business Industry in Which You Will Compete

Your products and / or services will fall within an industry or sector. It is beneficial to you to learn as much as possible about the key differences between a business sector and industry, and under which your business falls.

Knowing your industry helps narrow down your research field to focus on more direct market and competitor analysis. This is important to gathering the right type of business intelligence and your ability to compete more effectively.

Oftentimes, industry-specific resources are available to entrepreneurs.

Common Business Sectors of Greater Philadelphia Include

Artificial Intelligence
Arts & Culture
Barber Shops & Salons
Business & Professional Services
Childcare
Community Development Organizations
Construction
Design
Entertainment
Food & Beverage
Information & Technology
Life Sciences
Manufacturing
Retail
Tourism & Hospitality
Wellness & Personal Care

Choosing Your Legal Structure & Tax Framework

For assistance in determining which structure best suits your vision and needs, consult with a PhillyBizHub® Resource Organization. Below is a list of legal structures for you to learn more about and consider.

Individual | Sole Proprietorship
Partnership
Limited Liability Corporation(LLC)
C Corporation
S Corporation

To find an organization that can assist you with this, you can search resources by the following keywords: #Incorporation and Registration Services, #Startup Coaching or search for resources by #idea stage

Naming Officers With Titles and Members of Your Business Organization

Under most business legal structures, you need to select officers. You choose to have only one officer if that is your preference. When choosing a structure that has more than one member, you will need: