This article provides three key state business startup requirements for self-employed sole proprietors and general partners who run residential house cleaning businesses. Information from the Secretary of State, the Kansas Department of Revenue and selected city and county government sources were used to research this article.
Be aware that sole proprietor and general partner startup requirements in this state are always changing. Some requirements even vary from county to county. It is important that you call or visit your local county or city government to find out local requirements for residential house cleaning businesses and home-based businesses. This article is not intended to be exhaustive or a substitute for qualified legal or tax advice.
Business Name Registration
Sole proprietors and general partnerships are not required to register or file a fictitious name or DBA (“doing business as” name) name with the Secretary of State in Kansas. General partnerships may register a trademark or service mark with the state to help reduce confusion about their business name with other businesses with similar names.
Sole proprietors and general partnerships are not required to register for a fictitious name or DBA name in most Kansas counties or cities. It is a good idea to check with local city and county clerks to learn about any required licenses or permits. Find a county clerk in Kansas.
It is advisable to do a search for names other businesses are using in the state and county. Search business names currently in use by incorporated businesses in Kansas.
Then do an online search for names similar to the one you plan to use. For example, if you want to use the name, Crystal Clean Maid Service, search the Kansas Business Center site. Then do simple Google searches for “Crystal Clean Maid Service+Kansas” plus Crystal Clean Maid Service+your county” and Crystal Clean Maid Service+your town or city”. Search beyond the first page of results. Go at least five pages deep into the search results to see if the name you want or similar names are being used.
In the state of Kansas, simply using a Fictitious Name or DBA does not guarantee a business sole rights to the use of that name. Other businesses in the county and state may also use the same Fictitious Name. Businesses are expected to legally defend their trade names.
Business License Registration
Sole proprietors and general partners do not have to apply for a business license with the State of Kansas. Residential cleaning businesses should check with local city and county clerks to learn about any required licenses.
In Kansas, a general partnership is created when two or more owners form an oral or written agreement to start a business together. General partnerships in Kansas may own assets, contract in the partnership name, may sue and be sued in the partnership name and may file separate bankruptcy. General partnerships may choose to file a Statement of Authority or other statements with the Secretary of State; they are not required filings and a Statement of Authority does not create the partnership. A written partnership agreement drawn up by a lawyer is important for both or all partners. Partnership agreements do not have to be filed with the state.
Sole proprietors and general partners may apply for an Employer Identification Number (EIN) from the IRS even if they do not plan to hire employees. Kansas general partnerships are required to apply for a Federal Employer’s Identification Number (another name for an EIN), whether they have employees or not. Getting an EIN may make it easier to open a bank account and reduce your risk of identity theft. You can apply for an EIN online. In addition, some business registration forms will require a a NAICS business classification number for the house cleaning industry.
Business Tax Registration
Register a business online.
Residential housecleaning services are not taxable in Kansas. Cleaning services do not have to collect and send sales taxes to the Department of Revenue.
Sole proprietors and general partners pay tax on business income to the state of Kansas through their personal state tax return. Sole proprietors and general partners are responsible for paying estimated self-employment income taxes in Kansas (on Form K-40ES) similar to the way self employment taxes are paid to the federal government. Get more information about estimated tax requirements by calling the Kansas Department of Revenue at 785-368-8222. In addition, each general partner is must pay state income taxes based on their percentage of ownership and must file a Kansas Individual Income Tax Return (Form K-40) (K.S.A. 79-3220).
Kansas general partnerships that file a Federal partnership information Form 1065, may need to file state income tax Form K-120S. Get more information from a CPA or qualified tax preparer to find out if your partnership must file those returns.
Selected State of Kansas City Licenses
Lawrence Business License: The city of Lawrence does not require a business license for cleaning services
Lenexa Business License: https://www.lenexa.com/cms/one.aspx?pageId=6514237
Manhattan Business License: The city of Manhattan does not require a business license for cleaning services.
Olathe Business License: The city of Olathe does not require a business license for cleaning services
Overland Park Business License: The city of Overland Park does not require a business license for cleaning services. The city does require an occupational tax. Call the city at (913) 895-6150 for more information.
Shawnee Business License: https://cityofshawnee.org/departments/community_development/business_licensing_and_information
Topeka Business License: The city of Topeka does not require a business license for cleaning services.
Wichita Business License: http://www.wichita.gov/Licenses/Pages/default.aspx