Starting a small business requires understanding and meeting several legal requirements to operate smoothly and avoid penalties. First, you need to register your business name and choose an appropriate legal structure, such as a sole proprietorship, partnership, or corporation. Obtaining necessary licenses and permits from local, state, or federal authorities is essential, depending on your industry. You must also comply with tax obligations, including registering for an Employer Identification Number (EIN) and understanding sales or income tax requirements. Additionally, adhering to labor laws, zoning regulations and health and safety standards helps protect your business and employees.