Starting a Business in Andalusia, Alabama

Thinking about starting a business in Andalusia, Alabama? This step-by-step guide walks you through the major decisions you should consider before opening a new business in Andalusia.

What Business Are You Starting?

Choosing a business that is right for you is very important. To stir your creative juices on what kind of business to start, take a look at How to Evaluate a Business Idea.

For in-depth how-to guides on how to start specific businesses, browse our Good Businesses to Start section of our site. For example, you might be interested in our How to Start an Aquariums & Supplies Retailer guide or our How to Start a Duty Free Shops Business guide.

Always keep in mind that your new startup will be located in Andalusia. Some businesses will do better in Andalusia than others. Study Andalusia demographics and do a competitive analysis as part of your startup planning process.

Andalusia, Alabama Demographic Information

Andalusia has an active business community that includes small businesses, mid-sized businesses and large businesses.

To give you a better feel for Andalusia demographics for small businesses, we have tabulated the small business sizes, based on number of employees, for business in Andalusia.

Business Size	# of Businesses
1-4 Employees	1732
5-9 Employees	756
10-19 Employees	450
20-49 Employees	282
50-99 Employees	72
100-249 Employees	12
250-499 Employees	18
500-999 Employees	0
1000+ Employees	6
All Andalusia Businesses	3328

As a new Andalusia entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Andalusia for each business category. By looking at this chart, you can get a general sense for how much competition there is in the business niche that you are pursuing.

Business Type	# of Businesses
Ambulance Services	2
Animal (except Poultry) Slaughtering	1
Automotive Parts and Accessories Stores	9
Barber Shops	1
Beauty Salons	5
Bed-and-Breakfast Inns	1
Beer, Wine, and Liquor Stores	3
Boat Dealers	1
Book Stores	1
Burial Casket Manufacturing	1
Business Associations	2
Cable and Other Program Distribution	1
Child and Youth Services	2
Child Day Care Services	5
Children's and Infants' Clothing Stores	3
Claims Adjusting	2
Coin-Operated Laundries and Drycleaners	1
Commercial Bakeries	1
Computer and Software Stores	1
Concrete Block and Brick Manufacturing	1
Confectionery Merchant Wholesalers	2
Consumer Lending	2
Cookie and Cracker Manufacturing	1
Cotton Ginning	1
Credit Unions	3
Crop Harvesting, Primarily by Machine	1
Direct Life Insurance Carriers	2
Discount Department Stores	1
Drywall and Insulation Contractors	2
Electric Power Distribution	2
Electrical Contractors	9
Emergency and Other Relief Services	1
Employment Placement Agencies	1
Engineering Services	4
Exterminating and Pest Control Services	1
Family Clothing Stores	5
Fine Arts Schools	1
Finish Carpentry Contractors	2
Fitness and Recreational Sports Centers	2
Floor Covering Stores	1
Florists	3
Folding Paperboard Box Manufacturing	1
Freight Transportation Arrangement	1
Full-Service Restaurants	8
Funeral Homes and Funeral Services	2
Furniture Merchant Wholesalers	1
Furniture Stores	3
General Automotive Repair	11
General Medical and Surgical Hospitals	1
General Rental Centers	1
General Warehousing and Storage	1
Gift, Novelty, and Souvenir Stores	3
Golf Courses and Country Clubs	1
Grantmaking Foundations	1
Heating Oil Dealers	1
Home Centers	1
Home Health Care Services	4
Homes for the Elderly	1
Household Appliance Stores	1
Industrial Building Construction	1
Industrial Launderers	1
Insurance Agencies and Brokerages	8
Internet Service Providers	1
Janitorial Services	4
Jewelry Stores	2
Kidney Dialysis Centers	1
Landscaping Services	5
Lessors of Other Real Estate Property	1
Limited-Service Restaurants	18
Logging	6
Manufactured (Mobile) Home Dealers	2
Masonry Contractors	2
Mattress Manufacturing	1
Meat Markets	2
Motor Vehicle Towing	1
Motorcycle Dealers	1
New Car Dealers	3
New Housing Operative Builders	1
Newspaper Publishers	1
Nursing Care Facilities	2
Office Supplies and Stationery Stores	1
Offices of Certified Public Accountants	2
Offices of Chiropractors	2
Offices of Dentists	6
Offices of Lawyers	20
Offices of Optometrists	6
Offices of Real Estate Appraisers	1
Outdoor Power Equipment Stores	2
Paging	1
Paint and Coating Manufacturing	1
Paint and Wallpaper Stores	2
Painting and Wall Covering Contractors	1
Petroleum Bulk Stations and Terminals	1
Pharmacies and Drug Stores	5
Photography Studios, Portrait	1
Radio Stations	1
Ready-Mix Concrete Manufacturing	1
Real Estate Credit	2
Refrigerated Warehousing and Storage	1
Residential Property Managers	2
Residential Remodelers	2
Roofing Contractors	2
Securities Brokerage	1
Shoe Stores	2
Site Preparation Contractors	2
Solid Waste Collection	2
Solid Waste Landfill	1
Sporting Goods Stores	2
Support Activities for Forestry	4
Tax Preparation Services	1
Theater Companies and Dinner Theaters	1
Tire Dealers	5
Tire Retreading	1
Title Abstract and Settlement Offices	1
Used Car Dealers	6
Used Merchandise Stores	2
Vending Machine Operators	1
Veterinary Services	2
Video Tape and Disc Rental	2
Wholesale Trade Agents and Brokers	2
Women's Clothing Stores	3

Company Formation in Andalusia, Alabama

It's very important that your business is formed as a legal entity that is separate from its owners. Doing so will separate you from personal liability for business debts and obligations.

The entity you form can be a traditional C-corporation, a Limited Liability Company (LLC), or an S-corporation.

Incorporating is a very popular way to form a business. Of course, you have to decide which type of corporation to form and where to incorporate. Just because you are starting a business in Alabama, you don't necessarily have to incorporate in Alabama. As it turns out, you are allowed to incorporate wherever you want. However, if you do incorporate in another state, you'll have to register as a foreign corporation in your home state.

There's a lot to know about forming a company. To learn the fundamentals of company formation, browse articles on our site, such as Getting an EIN. You may also want to seek the advice of an attorney. Finally, if you are starting a business in Andalusia, Alabama, our information on Incorporating in Alabama may be a useful resource if you decide to incorporate in Alabama.

Startup Financing Basics

Getting your Andalusia business the capital it needs to succeed will be harder than you might expect. If you don't have a rich uncle to fund you, you'll need to be creative in how you approach your fundraising efforts.

To learn about raising money, we recommend you read the fundraising articles on our site, such as Only Idiots Send Venture Capitalists Business Plans.

For Andalusia entrepreneurs on the hunt for startup funding, check out our List of Alabama Angel Investors and our List of Alabama Venture Capital Firms.

The Art of Selling

Do you know how to sell? In order to attract customers to your new Andalusia business, you need to focus on sales.

Why should customers buy from you instead of buying from competitors? The good news is we can help you to make selling a big competitve advantage for your new firm.

Sales Prospecting is worth reading, as it may give you some good ideas on how to sell your products or services. We have many more good articles on selling that you may enjoy reading.

Learning More About Entrepreneurship

The best entrepreneurs know that what they know now may not be enough to ensure their future success.

With your business being located in Andalusia, Alabama, you will want to take advantage of the many programs available at nearby Alabama universities, colleges and community colleges. It's also wise to see if there are any networking groups or organizations in which Andalusia entrepreneurs get together to network and trade their business experiences.

Moving Forward

As an entrepreneur in Andalusia, you won't be working for the boss anymore. You are the boss.

Owning your own business will be a daunting task, but you can do it.

Our goal here is to promote the vitality and growth of small businesses in Andalusia and throughout the United States . We want to be there for you to answer your business questions, whether you are a new Andalusia entrepreneur who is just getting started or you are already up and running with your new venture.

More Entrepreneurial Resources for Starting a Business in Andalusia, Alabama

Here are more links that we believe will help you be successful in starting a business in Andalusia.

• Resources for Andalusia, Alabama Entrepreneurs - Browse a variety of resources we've collected to assist Andalusia entrepreneurs.
• Alabama Entrepreneurial Resources - We've gathered state-level entrepreneurial resources to help new entrepreneurs who are based in Alabama.
• Alabama Small Business Development Center - Alabama's Small Business Development Center (SBDC) counsels and trains business people in a wide variety of business topics and provides comprehensive information services and access to experts in many fields. Counseling is provided free of charge to all Alabama small business owners.
• Andalusia, Alabama Newspaper Ad Rates - This is a nearly comprehensive list of advertising rates for Andalusia, Alabama newspapers, including ad costs for newspapers serving the Andalusia area.
• Andalusia, Alabama Radio Advertising Prices - To help you in your marketing efforts, we've gathered radio advertising rates for Andalusia, Alabama area radio stations.

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