Indiana Business Startup Guides

Starting a Business in Salem, Indiana

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

Choosing the Right Company to Start

There are many businesses that you can start. How do you know which type of business is right for you? To stir your creative juices on what kind of business to start, take a look at Free Business Ideas.

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 Auto Wheels Retail Business guide or our Starting a Personal Trainers Business guide.

Don't forget that you are opening your new business in Salem. If Salem already has plenty of the kind of business you want to start, you might want to change your plans. Study Salem demographics and do a competitive analysis as part of your startup planning process.

Salem, Indiana Demographic Information

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

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

Business Size
# of
Businesses
1-4 Employees
13992
5-9 Employees
5412
10-19 Employees
2904
20-49 Employees
1320
50-99 Employees
594
100-249 Employees
264
250-499 Employees
198
500-999 Employees
0
1000+ Employees
0
All Salem Businesses
24684

As a new Salem entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Salem 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
Architectural Services
1
Automotive Parts and Accessories Stores
5
Beauty Salons
2
Beer, Wine, and Liquor Stores
3
Book Stores
1
Business Associations
1
Car Washes
3
Child Day Care Services
2
Civic and Social Organizations
3
Coin-Operated Laundries and Drycleaners
1
Consumer Lending
1
Convenience Stores
2
Custom Computer Programming Services
1
Document Preparation Services
1
Electric Power Distribution
1
Electronic Connector Manufacturing
1
Exterminating and Pest Control Services
1
Family Planning Centers
1
Farm Supplies Merchant Wholesalers
1
Finish Carpentry Contractors
3
Floor Covering Stores
1
Framing Contractors
2
Full-Service Restaurants
13
Funeral Homes and Funeral Services
3
General Automotive Repair
6
General Freight Trucking, Local
1
General Medical and Surgical Hospitals
1
General Rental Centers
2
Golf Courses and Country Clubs
1
Grantmaking Foundations
1
Hardware Stores
3
Historical Sites
1
Homes for the Elderly
1
Insurance Agencies and Brokerages
13
Interior Design Services
1
Janitorial Services
6
Jewelry Stores
1
Land Subdivision
1
Landscaping Services
4
Limited-Service Restaurants
10
Logging
2
Machine Shops
2
Manufactured (Mobile) Home Dealers
3
Marketing Consulting Services
1
Men's Clothing Stores
1
Mortgage and Nonmortgage Loan Brokers
1
Motion Picture and Video Distribution
1
Motorcycle Dealers
1
New Car Dealers
3
Newspaper Publishers
2
Nursing Care Facilities
1
Offices of Certified Public Accountants
3
Offices of Chiropractors
2
Offices of Dentists
5
Offices of Lawyers
7
Offices of Optometrists
1
Offices of Real Estate Appraisers
3
Outdoor Power Equipment Stores
1
Paint and Wallpaper Stores
1
Painting and Wall Covering Contractors
2
Pet and Pet Supplies Stores
1
Pharmacies and Drug Stores
4
Photography Studios, Portrait
1
Powder Metallurgy Part Manufacturing
1
Professional Employer Organizations
2
Racetracks
1
Ready-Mix Concrete Manufacturing
1
Real Estate Credit
1
Residential Remodelers
2
Retail Bakeries
1
Roofing Contractors
1
Savings Institutions
1
Sawmills
4
Securities Brokerage
2
Siding Contractors
1
Site Preparation Contractors
3
Snack and Nonalcoholic Beverage Bars
1
Special Needs Transportation
2
Tax Preparation Services
1
Temporary Shelters
1
Tire Dealers
1
Title Abstract and Settlement Offices
5
Tobacco Stores
1
Travel Agencies
1
Used Merchandise Stores
2
Veterinary Services
3
Video Tape and Disc Rental
3
Vocational Rehabilitation Services
2
Water Supply and Irrigation Systems
1
Women's Clothing Stores
1
Wood Container and Pallet Manufacturing
2

Have You Considered Buying an Existing Salem Business?

An excellent way to get started in business is to Buy a Business in Indiana. Follow that link and you can review several good businesses for sale in Salem.

If you are intent on buying a business, you may want to read this article: Buying a Business.

Naming the Business

A good company name can give a big boost to a new startup. It might seem like an easy thing to do, but there are many things to consider when naming a business.

Before you decide on a company name, run it by some prospective customers and see what they think. If they don't like it, it's probably a good idea to go back to the drawing board.

To get up to speed on what makes for a good company name, we encourage you to read this useful article: Branding Advice.

There's one other important factor when naming a business. Since you are planning on starting a business in Salem, it's imperative that you check now that no other Indiana company is using the business name you want to use.

Forming a Company in Salem, Indiana

A critical step is ensuring that your business is formed as a legal entity that is separate from its owners. Among other things, forming a legal entity for the business limits your liabilities.

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

Incorporation 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. If you are starting a business in Indiana, it doesn't mean you are required to incorporate in Indiana. In fact, you can 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 are many nuances to forming a company. We recommend you read some of the educational articles about company formation that are availabe on our site, such as Registered Agents. You should also consider getting professional assistance from your business lawyer. Finally, if you are starting a business in Salem, Indiana, our information on Incorporating in Indiana may be a useful resource if you decide to incorporate in Indiana.

Getting Money to Start a Business

Getting your Salem 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.

Fortunately, this site contains dozens of articles on raising money, including one we recommend entitled Borrowing Money from Friends and Family.

For Salem entrepreneurs in need of startup financing, browse our List of Indiana Angel Investors and our List of Indiana Venture Capital Firms.

How to Improve Your Entrepreneurial Abilities

Successful entrepreneurs recognize that they need to continually improve.

Given that you are starting a business in Salem, Indiana, you will want to take advantage of the learning programs at local Indiana educational institutions. It's also beneficial to see if there are any networking groups or organizations in which Salem entrepreneurs get together to network and trade their business experiences.

Never Give Up

Most new Salem businesses underestimate the number of challenges they will face.

If you choose the right business and love what you do, you will greatly increase your odds of success.

Our goal here is to promote the vitality and growth of small businesses in Salem and throughout the United States . We believe entrepreneurship is an amazing engine for job creation in Salem, neighborhood development and overall economic health.

More Entrepreneurial Resources for Starting a Business in Salem, Indiana

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

Starting-a-Business Guides for Other Cities in Indiana

Starting a Business in Rushville
Starting a Business in Seymour

Browse All Business Startup Guides for Indiana
Starting a Business Guides for Other States

 

 

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary