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Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Legal
Satisfied Customers: 118649
Experience:  JA Mentor -Attorney Labor/employment, corporate, sports law, admiralty/maritime and civil rights law
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I have some questions about to set up a business.

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hi
JA: Hello. How can I help?
Customer: I have some questions about to set up a business.
JA: What state are you in? It matters because laws vary by location.
Customer: california
JA: Has anything been filed or reported?
Customer: No
JA: Anything else you want the lawyer to know before I connect you?
Customer: I will set up freelancer web site business. I want to know if I need to apply some special licenses.
Customer: replied 3 months ago.
My freelancer web site has the escrow payment flow. Does this one need a special license?
And, I will set up a deposit collecting money from freelancers. If freelancers can not complete the projects, this money will be used as a compensation to project owners. Is there any restriction for my business?Thanks
Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.
Under CA law, you have to register as an escrow agent: http://www.dbo.ca.gov/Licensees/Escrow_Law/about.asp
Once you are registered then you can form yourself an LLC on the CA Secretary of State's website and obtain a Tax ID from the IRS website and you have your business formed and that is all you need to do to operate your business, even an online service such as you are seeking to run.
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Customer: replied 3 months ago.
Very helpful. Thank you very much.

Thank you for your reply.

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