The basic's of starting a business...?

Ok, I have a few questions and I don't really know how to get some awnsers without going to go see someone personally. I've checked out books and been researching on how to start a business, but there are just two things i don't understand right now.

1) What is it that a small busniess needs to buy to be able to sell other people's merchandise? is it licencing with a company? or buy copy rights? what gives me permission to sell a companies items?

2)Now how exactly will I do that? How will i obtain the ability to do that....


then third....anything you think a 17 year old needs to know about opening shop with his friends...anything i might have over looked that you think is important to address.

Go to http://www.score.org/ and in the upper left hand corner, enter your zip code. On the next screen, you will get information on the nearest SCORE chapter. Call them and arrange for a free meeting with a SCORE counselor.

SCORE is a nonprofit association dedicated to entrepreneur education and the formation, growth and success of small business nationwide. SCORE is a resource partner with the U.S. Small Business Administration (SBA).

SCORE has 389 chapters in locations throughout the United States and its territories, with 10,500 volunteers nationwide. Both working and retired executives and business owners donate time and expertise as business counselors.

That cleopatra is good....stole my answer LOL.

Each category of small business has its own requirements and methods. There are books at the book store on opening many different kinds of businesses. You should get one and read it. If a manufacturing company decides to sell its merchandise to a given retailer, they are also giving permission for that retailer to sell the products to the public and to display advertising for that brand.

All you really need is a wholesaler who would provide you items for resale. Now you would need a business license from local government which would enable you the buy wholesale stuff without paying sales tax since you are going to resell these items. Common resellers are COSTCO or SAM'S CLUB. You would be better off creating a corporation to do business. A S corporation would be something you should consider. You can talk to an accountant and he can get you setup with a corporation and all the license needs.

All of the answers above are very good and each has insights of it's own. If you are planning to operate a business with friends, have a formal written agreement written up by an attorney. Friendships will not survive arguments because of misunderstandings in what each thought they were signing up for. A formal written agreement makes sure everyones understanding should be the same and will reduce the number of problems in the long term. Good Luck!!