No licensing required on the state level, but Kansas City, St Louis, Joplin, St Joseph and Springfield require licensing.

Missouri Revised Statutes
Chapter 84
Police Departments in St. Louis and Kansas City
Section 84.340

Missouri
P.O. Box 720
Jefferson City, MO 65102

August 28, 2000

84.340. The police commissioner of the said cities shall have power to regulate and license all private watchmen, private detectives and private policemen, serving or acting as such in said cities, and no person shall act as such private watchman, private detective or private policeman in said cities without first having obtained the written license of the president or acting president of said police commissioners of the said cities, under pain of being guilty of a misdemeanor.

NOTE: The Division of Employment Security may consider an employer who provides, or leases, employees to another business to be a lessor employing unit. The business using the employees is termed a client lessee.

The Missouri Employment Security Law states that a lessor employing unit will be responsible for reporting all wages paid and liable for contributions(tax) due on the wages paid.

1. The lessor employing unit has the option to make a financial guarantee to the Division to pay contributions due.The lessor may guarantee payment by posting and maintaining a surety bond, depositing securities, providing an irrevocable letter of credit, or obtaining a certificate of deposit. This action will relieve the lessor's clients of any liability. It will also allow the lessor to report all employees on one quarterly return.

2. If the lessor does not make a financial gurantee to the Division that contributions will be paid, the client lessee will be jointly liable for contributions due on wages paid to the employees provided to it. In order to identify the employees provided to each client lessee, the lessor must file a separate quarterly return for each client lessee.

To maintain correct records, the Division requires the lessor to submit a quarterly list of its clients.

NOTE: The above provisions do not apply to private employment agencies who provide their employees to others on a temporary help basis.

Contact:
Department of Labor and Industrial Relations
Division of Labor Standards
3315 West Truman Blvd.
P.O. Box 449
Jefferson City, MO 65102-0499
Phone: 573/751-3403
Web Site: www.dolir.mo.gov/es/ui-tax/m4267.html

Legal Structure

Anyone conducting business in the State of Missouri under a name other than their own legal name (e.g., John Doe), must register the business name with the Missouri Secretary of State. Missouri law allows businesses to operate under four forms or organization:

• Sole proprietorship
• Partnership - general and limited
• Corporation - C-Corp; S-Corp; Professional, Not-for-Profit; Foreign Corporation
• Limited Liability Company - LLC

Each structure has its own advantages and disadvantages and there are many modifications and variations within these forms. The key to selection revolves around the concept of liability and taxation. You must decide which of these structures best suits your business. In choosing your business structure, consult with a qualified accountant and/or attorney who are familiar with your resources and objectives.

A description of the forms of organization and some of the advantages and disadvantages are discussed in Legal Structures, Licenses and Taxes and Starting a New Business in Missouri [256k].

The Licenses and Registration Checklist is a guide to help you with the licensing and registration requirements for starting your new business.

You can download forms on the web at: www.sos.mo.gov/business/corporations/forms.asp or request from the Secretary of State's Office at (573) 751-3200.

Taxes

Understanding the taxes that apply to your business and how to meet the legal requirements of those taxes is critical. Consultation with an accountant or attorney is advisable.

Tax considerations are essential during the formation of a new business and during its entire life. When a business is just starting out, it may have little or no income or assets and the choice of structure may not seriously affect its tax liability. However, as the business grows, the tax implications become more significant.

Choosing a particular structure does not necessarily determine how the business will be taxed. The table found in Starting a New Business in Missouri [246k] identifies the state and federal forms that must be filed for different business structures and compares the tax liabilities for the most common business structures.

Tax responsibility includes federal, state and local taxes. As a business owner you will be responsible for income taxes, payroll taxes, property tax and other miscellaneous taxes.

Any business making wholesale or retail sales must obtain a Missouri Retail Sales License from the Missouri Department of Revenue. A bond, based on projected monthly gross sales is posted at the time of application. An application form (Form #2643) can be obtained from the Dept. of Revenue on the web at www.dor.mo.gov/tax/business/forms/ or by calling 1-800-877-6881. Generally, a wholesaler or manufacturer will present a Sale/Use Tax Exemption Certificate (Form #149) to the seller showing the sale is exempt from sales tax.

For more information on taxes and access to printable copies of the required forms visit: Doing Business in Missouri: Taxes [531k] and the IRS/SBA Small Business Resource Guide.

Hiring Employees

Obtain a copy of "Employer's Tax Guide" [340k] from your local IRS office or call 1-800-829-3676. "Circular E" explains federal tax withholding and Social Security tax requirements for employers as well as containing up-to-date withholding tables for you to use to determine how much federal income tax and Social Security tax is to be withheld from each employee's paycheck.

What Is Involved?

• Once you begin paying salary or wages to employees, you must collect taxes from your employees. The primary taxes are: federal and state income taxes, Social Security (FICA) and Medicare taxes.
• If you have not already done so, you must apply for a federal employer identification number (EIN) -- Form SS-4. This number is used to identify your business on payroll and income tax returns, as well as for other federal tax purposes. Corporations and partnerships must file Form SS-4 even if they have no employees. The IRS now offers an online EIN application.
• Each employee completes an I-9 Employment Eligibility Verification Form and a W-4 form [53k].
• Missouri require that all employers in Missouri report each newly hired employee to the Department of Revenue within 20 calendar days of hire.

For more information on your responsibilities as an employer, please contact your local Missouri Career Center (formerly Job Service). To locate the nearest office, check the phone book or call 1-888-728-JOBS or visit www.greathires.org/cgi-bin/career_centers.cgi.

For a complete discussion on hiring employees, your responsibilities, and access to the required forms, refer to: Doing Business in Missouri: Hiring Employees [432k].

Business Resources

You may also find the following information helpful as you begin your business:

• Starting a New Business in Missouri [246k] is an excellent publication on the process of starting and operating a business in Missouri.
  
  
• Evaluating Your Business Idea [587k] is a simple questionnaire-formatted document that helps you think through the elemental considerations in starting a business.
  
  
• Guide to Writing a Business Plan [382k] provides a short, but thorough introduction to the process of writing a business plan and provides a simple outline of the contents of a standard plan.
  
  
• MissouriBusiness.Net is a network of key business resource providers in Missouri. The Web site contains a vast array of helpful documents, links and information on starting and operating your small business as well as a calendar of upcoming training and educational events throughout Missouri. To find a business counselor near you, refer to www.missouribusiness.net/sbdc/centers.asp
  
  
• The Missouri Environmental Assistance Center helps businesses. improve business efficiency and save money through reducing or eliminating waste understand and navigate the complicated area of environmental permits and regulations. The Web site offers information on environmental compliance, pollution prevention and energy efficiency.
  
  
• Contact your local (county, city, township) government offices early in the planning stages of your business. The requirement for local licenses and permits vary by county and city. Most cities, and some counties, require businesses to be licensed. Check with the city business/merchant license office and/or the county collector's office for the requirements in your area. Be sure to check with the local city and/or county planning/zoning department to make sure that the site you have selected for your business is zoned to accommodate the activities of your business. These offices can be found in your local phone directory.
  
  
• Missouri Lawyer Referral Service
  - Kansas City: (816) 221-9473 (Clay, Jackson, Platte & Ray counties)
  - St. Louis City & County: (314) 621-6681
  - Springfield/Greene County: (417) 831-2783
  - Rest of Missouri: (573) 636-3635
  Web: www.mobar.org/fa9a5c63-a2c3-4c6e-a86a-de191b13e501.aspx
  
  
• Missouri Society of Accountants 1-800-959-4276
  Web: www.missouri-accountants.com