Launching
Murrieta is a thriving and growing city with a robust sense of community. We invite you to come grow with us.
Our goal is to help your Murrieta business get off to a strong start. And we will continue that connection and support as your business grows and thrives.
This e-book will provide valuable information and links to local and regional resources. As business liaisons for the City of Murrieta, we are also here to talk with you, answer questions and help to guide you through the start-up process.
o PREPLANNING
• V isit or call the City of Murrieta Planning Department
• I dentify the zone{s} where your business can operate.
• D iscuss the development standards that apply (parking, signs, operationals)
o F IND A SUITABLE LOCATION
• V isit the Murrieta Site Selector Website to review market research, demographics, data and information relevant to locating your business in Murrieta.
• B efore you sign a lease or purchase a property, talk with City staff to ensure your business is compatible with the zoning.
• I f you plan to make tenant improvements, renovations, or install equipment, contact the Building Division to determine if you need to submit plans or get building permits.
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• I f using a Fictitious Business Name or DBA (doing business as), you will need to register with the Riverside County Clerk's Office .
• I f you are considering becoming a corporation (stock or nonprofit), a limited liability company, or a partnership (limited or limited liability); you must file with the Secretary of State's Office .
o APPLY FOR REQUIRED PERMITS AND LICENSES
•For a complete list of permits required for your business, go to the State of California's Office of Small Business Advocate Website.
•If your business is selling or leasing tangible property, you will need a Sellers Permit from the State Board of Equalization.
•If your business intends to prepare and/or sell food of any type, you will need a Health Permit from the Riverside County Department of Environmental Health.
•If your business will sell or serve alcoholic beverages, you will need a license from the California Alcoholic Beverage Control Board. You may also need a Conditional Use Permit from the City Planning Commission.
•Growing your workforce? Visit the State Employment Development Department.
•Get state and federal employee IDs at the Internal Revenue Service site.
o APPLY FOR A CITY OF MURRIETA BUSINESS LICENSE
•Complete a Business License application online.
•This is only required if you will have employees or if you need to obtain a Form 540 for estimating State Withholding Tax
o CONTACT YOUR INSURANCE AGENT
•For information regarding what type of insurance your business will require, including workers' compensation and liability insurance.
o O BTAIN ADDITIONAL INFORMATION OR ASSISTANCE
• J oin the Business Community and connect with the Murrieta/Wildomar Chamber of Commerce
• F ind out about the various business programs and local resources that are available within the City on the Business Development & Assistance page .
o W RITE A BUSINESS PLAN
• T here are no set rules for drafting your business plan, but for the most success it is best to follow consistent guidelines. A great resource is the SBA Build Your Business Plan Guide
• To increase your chance of success, take the time up front and before anything else, to explore and evaluate your business and personal goals. Then, use this reflection to build a comprehensive and well-thought-out business plan. Your business plan is just as valuable a tool to you as it is to your potential investors.
• Your business plan functions in a number of uses. Committing yourself to writing a business plan is a methodical way to mentally construct your business. Accomplishing the technical aspects of business planning will allow you to better utilize your time and resources with the ultimate goal of establishing a thriving business. Additionally, a detailed business plan will often be your best resource in obtaining funding, as investors will want to understand how they will earn back their investment.
• Your local Small Business Development Center (SBDC) offers low-cost business training and business mentoring. Locate them online by zip code.
o LEGAL BUSINESS STRUCTURE
• There are several forms of legal entities of businesses, each with their own advantages and disadvantages.
• Learn more about the various business structures on the Internal Revenue Service (IRS) website .
• New businesses that are not a sole proprietorship must file formation documents with the Secretary of State, the required forms can be found on their website . Contracts between owners of a partnership should be drawn up before beginning business.
• You can learn about the tax implications of business structure here . Thoroughly research the structures and settle on the one that best fits your needs and goals. No classification is any better than another, they are only different.
o FICTITIOUS BUSINESS NAME STATEMENT
• A licensed business name is necessary if the company name differs from your own, a filing of a fictitious business name statement is also required before you can open a business checking account in the title of the business.
• This statement is filed with the county government . Your local county website should have a section specifically designed for the filing of fictitious name statements. Counties will vary, but most require a small fee.
o ZONING REQUIREMENTS
• De termine zoning regulations and requirements prior to signing any lease or contract. The intended location of your business must have the proper zoning for your planned use of the site.
• You w ill find a wide range of zoning maps on our City website : If you will be operating out of your home you must follow any requirements for home occupants in your city.
o BUSINESS LICENSE
• In o rder to operate your business, you must comply with a range of city, state, and federal rules and regulations. The Small Business Association offers a search tool for discovering which licenses are necessary for your business based on your industry and location.
• Bus iness licenses are required before business begins and can be paid for online. Price start at $75 and increase depending on gross receipts.
• If y ou intend to run your business out of your home, it is necessary to obtain a Home Occupation Permit. Additionally, you should check with your homeowner's association as some neighborhoods prohibit the running of businesses out of the home.
Watch a short video on the Murrieta Innovation Center
o SPECIAL LICENSES AND PERMITS
• The l icenses and permits necessary to run your business legally are determined by the type of business you wish to establish.
• The C alGOLD database provides detailed information on business permit, license, and registration requirements from all levels of government. Here you can find detailed information including a description of the requirement, contact information for the supervising agency, and a direct link to the agencies' website.
• The S tate Department of Consumer Affairs lists more than 200 regulated occupations and services and offers valuable licensing information.
o FEDERAL BUSINESS TAX
• Fo r federal tax information and a copy of the Tax Guide for Small Businesses , an invaluable resource to help understand how to properly file federal taxes.
• Vi sit the IRS website for information on Employer ID Numbers.
o STATE BUSINESS TAX
• Ge t a wide range of California State Tax information at www.taxes.ca.gov.
• You r Federal Tax ID number, otherwise known as the Employer Identification Number (EIN), is comparable to a Social Security number for your business. One can be obtained by filling out Form SS-4 which is available online at www.irs.gov
• The E mployment Development Department (EDD) is a department within the California State Government that promotes California businesses as well as aids employees and employers. They release yearly editions of their handbook, California Employer's Guide, which covers broad topics concerning how to succeed in business.
The City of Murrieta has its own police and fire departments. These highly-engaged first responders help make Murrieta one of the safest cities in the United States!
o S TATE BUSINESS TAX
• I t is a legal obligation to invest in Workers’ Comp Insurance prior to the hiring of any employees. This can be done with your insurance agent or broker, but CA State also has established a State Fund. This fund is the largest supplier of Workers’ Comp Insurance in the state and grants many opportunities to lowincome startups.
• A n important distinction when hiring employees, especially for tax purposes, is classifying their employment status appropriately. The IRS has a helpful publication for understanding the different classifications and rights of certain employees.
• A long with many other resources, the SBA offers this simple, easy to use step-bystep Guide to Hiring and Maintaining Employees .
o B USINESS INSURANCE
• B usinesses are major investments; sometimes a life's work can go into opening a business. Unfortunately, the truth is that it's not uncommon for businesses to be robbed, vandalized, or otherwise destroyed. It's incredibly important for all business owners to invest in liability and property insurance, to protect your building, inventory, and equipment.
• M any insurance companies offer Business Insurance and most will work with you to create a policy that best fits your needs. Contact your insurance agent or shop around before settling on a policy.
The City debuted the region’s largest, full-service outdoor amphitheater in June 2021. It provides a high-quality venue for community events, concerts, and gatherings and enhance opportunities for Murrieta businesses.
o A CCOUNTING TIPS
• A ll expenses and income must be well-tracked. One of the most common factors in the failure of new businesses is the mismanagement of funds. By establishing bookkeeping procedures and dealing with all expenditures and revenues similarly, income reporting and cash management will be easier and more realistic.
• T here are a number of easy-to-use accounting programs, the most popular being QuickBooks software, which is utilized by approximately 85% of all small business owners. There are advantages and disadvantages to all accounting software so it's important to compare/contrast various programs before settling on a program.
• For most small businesses, a simple, inexpensive program will suffice for needs. While there are many extremely expensive, extremely complicated programs that exist, programs like a basic QuickBooks is designed to be used by entrepreneurs with no formal accounting training. Additionally, there are a number of free and open-source programs with growing communities. View a list of these free small business accounting programs .
• M any small business owners outsource their preparation of financial statements to private accounting firms. Even if you decide to not have an accountant, it's a good idea to have an accountant prepare your year-end tax accounting. Many firms will offer this service for relatively cheap and this will prevent inconsistencies on your tax forms, which could otherwise lead to tax audits.
F INANCING TIPS
• I t takes money to make money. All businesses need capital to settle then expand. Typically, this capital will come from savings, home equity, or friends and family.
• T he next most frequent source of funding is some kind of business loan. If you are considering a business loan, it is a good practice to contact multiple lenders, and to do so early.
• T he U.S. Small Business Association (SBA) guarantees small business loans through local lenders. These loans are particularly helpful for minorities, persons with low-income, and persons with questionable credit.
• L enders will want you to be successful, as a loan is, in many senses, an ivestment in you and your business. Lenders will be very clear about their requirements and timelines.
• B egin your search for the appropriate lender at your own bank or credit union. If they don't offer commercial business loans, chances are they will be able to recommend lenders within the community who will be able to help you.
• C rowd-funding has become a popular method for small companies to get off the ground while gaining exposure. Sites like www.kickstarter.com , offer entrepreneurs, inventors, and artists a platform for raising capital to fund projects. Usually, a service or product will be offered in exchange for donations.
• T he first step in obtaining funding is to write a business plan. No organization will invest in a company without first reading their business plan. Additionally, your business plan will be an invaluable tool in helping you to decide the appropriate amount of capital to borrow.
See how the City of Murrieta is connected by community, by well being, and by business...
o RESOURCES FOR VETERANS
• The Veteran Business Action Committee meets every second Thursday at the Murrieta Innovation Center. More information on the VBAC website . There are many state programs and incentives available to veterans, including priority counseling, more access to funding, and priority in procuring government contracts.
• The S mall Business Administration gives special privilege to veterans.
• Ca lifornia's main designated program for connecting veteran business owners with government contracts is the California Department of Veterans Affairs
o RESOURCES FOR WOMEN
• The Women's Business Enterprise National Council (WBENC) is a nationwide non-profit organization dedicated to advocating womenowned businesses. Their main focus is developing relationships between major corporations and women-owned small business.
• The N ational Association of Women Business Owners (NAWBO) is a community of professional women entrepreneurs that promote economic development within the entrepreneurial community.
This guide is provided as a public service and is not all inclusive. If you would like further assistance, please contact the City of Murrieta’s Economic Development Department at 951-461-6003.
Online Business Resources
You will find links to the key business sites below throughout this document
City of Murrieta Economic Development www.MurrietaCA.Gov/Business
Murrieta/Wildomar Chamber of Commerce www.murrietachamber.org
Small Business Administration www.SBA.org
Internal Revenue Service www.IRS.gov
California Employment Development Department www.edd.ca.gov
California Tax Service Center www.taxes.ca.gov
California Department of Consumer Affairs www.dca.ca.gov
California Secretary of State www.sos.ca.gov
Cal Gold Database www.calgold.ca.gov
California Department of Veterans Affairs www.calvet.ca.gov
Veteran Business Action Committee www.socalvbac.com
National Association of Women Business Owners www.nawbo.org
Womens Business Enterprise National Council www.wbenc.org
Kickstarter www.kickstarter.com
Riverside County Clerk www.asrclkrec.com
City of Murrieta Economic Development
1 Town Square Murrieta, CA 92562 www.MurrietaCA.Gov
Murrieta City Council Ma yor: Jonathan Ingram Council Members: Lisa DeForest Christi White Lori Stone Cindy Warren