It is always wise to conduct thorough due diligence before starting a business. This will vary depending on the business’ goals, but generally includes:
- Market research. It is important to review the market to ensure there is demand for the product or service that your business will provide. Check the market size and look into the area to see if consumers already have similar options.
- Location. Get an idea of where potential consumers are located and whether or not they need to be close to your business’ physical structure. Gather this information and plan accordingly.
- Funding plan. Make sure you have the needed capital before moving forward. Various loans and investment options can help you meet your goal.
There are many methods and tools that can help you to gather the information you need. These can include the use of customer surveys and questionaries as well as reviewing existing sources for information on demographics and industry trends.
Three factors unique to Guam
The Government of Guam requires business owners to get a license from the Department of Revenue and Taxation’s General Licensing and Registration Branch before starting business operations. There are also special tax requirements, known as the privilege tax. The government generally assesses this tax on a monthly basis. The government also requires businesses report any cash payment over $10,000 from one buyer. This can be the result of a single transaction or multiple, related transactions.
These are just a few of the nuances that business leaders must navigate when starting operations in Guam. Entrepreneurs do not have to go through this process on their own. An attorney experienced in this niche area of business law can review your plans and provide guidance, better ensuring compliance and success within your chosen market.