-Florida has the fourth-largest economy in the nation, despite a 2.8% contraction in 2020.
-Small businesses make up 99.8% of all Florida businesses and employ over 41% of the state’s workforce.
-The top six industries for small business employment in Florida are professional, scientific and technical services, other services (except public administration), administrative, support and waste management, real estate, rental and leasing, construction, and transportation and warehousing.
-Florida’s unemployment rate was 4.4% in December 2021, slightly higher than the national average of 3.9%.
– U.S. News ranked Florida’s economy eighth in the nation based on its growth, employment and business environment. – Florida has low tax burden and does not have a personal income tax, making it attractive for pass-through entities.
– The state sales tax is 6%, with an additional 1.05% local tax, making the average sales tax 7.05%. However, certain items like groceries and medicines are exempt.
– Corporate income tax top rate is 5.5% and unemployment insurance taxes are low at 2.7% for new employers.
– Some business owners are moving to Florida for small business tax advantages.
– Access to capital for starting and growing businesses in Florida is reported to be sufficient, with significant investment capital from venture capitalists and angel investors. – Florida is attracting private investment capital and is considered a promising location for startups and innovation.
– The state has been ranked fifth in the country for access to capital, making it a cost-effective location for businesses.
– The cost of living in Florida is slightly higher than the U.S. average, but overall more affordable than other major economic hubs in the country.
– Prices fluctuate based on locality, with Miami being more expensive than other major metropolitan areas in the state. – Florida’s minimum wage is $10 as of September 2021 and will increase by $1 each year until it reaches $15 in September 2026.
– Florida labor laws do not require employers to provide employees with severance pay, vacation benefits, or sick leave (paid or unpaid).
– Many companies in Florida do provide sick leave as part of their employee benefits package, even though it is not required by state law.
– Due to its tourist reputation, Florida experiences significant seasonality in its economy, with a busy season between Thanksgiving and Easter and slower business in the spring and summer.
– The summer months in Florida offer more available and less expensive labor, as seasonal workers find themselves without a job. 1. Hurricane season creates uncertainty for businesses in South Florida, making it challenging to reach clients.
2. Certain types of businesses, such as roofing and construction companies, hardware stores, and grocery stores, benefit from hurricane season.
3. Florida’s low unemployment rate makes it difficult and costly to recruit and retain employees.
4. Job growth in Florida will outpace the overall U.S. economy, with the hospitality sector experiencing the most growth.
5. High salaries, attractive benefits packages, and job perks are standard tools for attracting workers in Florida.
6. Southeast Florida and the Tampa Bay region have the largest workforce.
7. Businesses starting in Florida should be prepared to file necessary documents, pay appropriate fees, and understand the basics of starting a business in the state. – Florida has about 2.8 million small businesses, making up 99.8% of all businesses in the state and employing 41.1% of the private-sector workforce.
– To start a business in Florida, one must check with the state Department of Business & Professional Regulation and the county’s tax collector for necessary licenses, register with the Florida Department of Revenue and the federal IRS, and if operating a corporate entity or business with a fictitious name, also register with the Florida Department of State.
– The cost of starting a business in Florida includes a $100 fee to file articles of organization, a $25 registered agent fee, and additional fees for business licenses, insurance, and obtaining copies of articles of organization or a certificate of status.
– Florida’s business environment is unique due to industries such as theme parks, tourism, watersport businesses, and its status as an international business hub for Central and South America and the Caribbean. – To find out what local licenses or permits are needed in Florida, one can check with the Florida Association of Counties, the Florida League of Cities, and the Florida Small Business Development Center Network.
– Small business insurance requirements in Florida include not requiring commercial liability insurance, but it is wise to have some insurance for asset protection. Workers’ compensation insurance is mandatory for companies with at least four employees, as well as construction and agricultural companies with specific employee numbers.
– Most businesses in Florida must obtain a business license, also known as a “business tax receipt,” which can be obtained when registering the business with the county tax collector. The cost of a business license in Florida is generally less than $100, but additional licenses and permits could increase the cost. – Florida LLC processing time is six to eight business days, with expedited filing possible in two to three days.
– To file for a DBA in Florida, a business must ensure its desired name is available, then file paperwork through the Online Fictitious Name Registration service.
– Florida state law requires employers to report newly hired or rehired employees to the state directory within 20 days of their start date, including self-employed individuals.
Additional Resources for Small Businesses in Florida:
– List of great small business ideas
– Tips and best practices for writing a business plan
– Information on different legal structures for businesses
– Reviews and best picks for small business loans
– Accounting solutions for small businesses
– Organizations in Florida offering resources for small business owners. – The Florida Department of Economic Opportunity helps businesses recruit employees and find tax credit and incentive programs. It also provides information on labor regulations in the state.
– Enterprise Florida is a public-private partnership that provides research and news on business growth opportunities, trade and export development, and defense.
– Florida SCORE offers free counseling and workshops for entrepreneurs looking to start or expand their businesses, with volunteer business professionals and expert mentors providing guidance.
– The SBA district offices offer financing, grants, consultations, counseling services, and assistance in applying for federal government contracts and obtaining help after natural disasters.
– Florida Small Business Development Centers support small businesses with services such as crafting business plans and navigating the state’s tax code.
https://www.businessnewsdaily.com/8811-doing-business-in-florida.html
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