How should state and local taxes impact the results of the major strategic decisions faced by the three venturers as they start up the business? Discuss.

Business venture question | Business & Finance homework help

When making strategic business decisions, it is important to consider the state and local taxes. There may be laws or regulations that the state has to follow, including income taxes rates and sales taxes. Also, filing fees for limited- or corporate liability companies (LLCs) or corporations must be considered. Additionally, each state will likely vary in how they categorize the type of business being established – whether it is a sole proprietorship, partnership, LLC etc.- which corresponds with different tax implications. Furthermore, it may affect capital gains taxes due at both the beginning and end of the business’s life depending on how the profits are realized.

Before launching any new venture, it is important to research local ordinances. Some cities may have specific regulations regarding noise pollution or zoning. Others might require permits for safety procedures or disposal of hazardous material from manufacturing. Ultimately any extra costs incurred due to these charges would detract from potential profits diminishing return rate investors expect out bottom line goal still same end – bettering general population community large taken whole.

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