Advisory package for e-com founders

I conducted targeted searches and scraped authoritative sources to assemble comprehensive, state-aware guidance for an advisory package for e-commerce founders (US LLC founders and business owners). Research steps:

I conducted targeted searches and scraped authoritative sources to assemble comprehensive, state-aware guidance for an advisory package for e-commerce founders (US LLC founders and business owners). Research steps:

Queried federal resources (IRS, SBA, FTC, FinCEN, CPSC, CBP, PCI SSC) for requirements on business formation, tax obligations, consumer protection, product safety, shipping/imports, BOI rules, and payment security.

Queried state-focused and industry aggregators (TaxJar, Avalara, Streamlined Sales Tax, Sales Tax Institute, TaxCloud) for up-to-date economic nexus thresholds, marketplace facilitator laws and state sales tax registration guidance.

Retrieved platform compliance pages (Amazon Seller Central, Shopify, Etsy) and privacy-law trackers (IAPP, state sites) to ensure practical, platform-specific and privacy compliance steps. Key findings (compressed excerpts linked)

- LLC formation: IRS and SBA guidance on choosing entity type, registering with state, obtaining EIN, operating agreement and state filings (IRS starting-a-business; SBA choose-business-structure). Excerpt: “You’ll need to choose a business structure before you register your business with the state... get an EIN and file licenses/permits.” - Federal tax and filings: IRS checklist for federal tax obligations, EIN, business taxes, recordkeeping and tax calendars. - BOI: As of March 26, 2025, FinCEN’s interim final rule exempts domestic U.S. companies from BOI reporting; foreign reporting companies still have deadlines. Excerpt: “All entities created in the United States... are now exempt from the requirement to report BOI to FinCEN.” - Sales tax & economic nexus: State-by-state thresholds vary (commonly $100k or $200 transactions; CA $500k; TX $500k; AL $250k; many states $100k). Marketplace facilitator laws generally require marketplaces to collect and remit on behalf of sellers; sellers must confirm facilitator registration and track gross sales for nexus. - Seller’s permits & registrations: Register with state Dept of Revenue and obtain sales tax permit when nexus established; Streamlined Sales Tax and state portals provide registration. - Data privacy: Multiple US state privacy laws exist (California CCPA/CPRA, Virginia VCDPA, Colorado CPA, Connecticut CTDPA, Utah, others). Businesses should implement privacy policies, consumer rights handling, data inventories, security measures, cookie disclosures, and vendor/data processing agreements. - Consumer protection & advertising: FTC enforces truth-in-advertising, endorsements, and advertising disclosures. Excerpt: “FTC guidance on advertising, endorsements, privacy and breach response” - Product safety & labeling: CPSC requirements for consumer products; FDA for food, supplements and cosmetics; FCC for electronic emissions; ensure testing, certifications, labeling compliance and recall readiness. - Payment processing & PCI DSS: Merchants accepting card payments must adhere to PCI DSS requirements (PCI Security Standards Council). Use compliant payment gateways and avoid storing PAN or SAD unless fully compliant. - KYC/AML: E-commerce merchants using third-party processors should be aware of OFAC sanctions screening, AML program expectations for certain businesses, and payment provider KYC requirements; consider collecting business verification docs for high-risk accounts. - Shipping & customs: CBP guidance on imports, de minimis threshold (Section 321) for low-value shipments, customs broker usage, HS codes, duties, and labeling. Ensure proper Incoterms, international taxes (VAT), and returns logistics planning. - Employment & contractors: State-specific rules on employee classification vs independent contractors; federal payroll and employer tax obligations. - Unclaimed property: States require escheatment of unclaimed seller funds; marketplaces sometimes hold and remit; businesses should implement processes to minimize escheatment liabilities. - Recommended advisory package contents and checklist: onboarding checklist (EIN, articles of organization, operating agreement, state registrations, sales tax permits, resale certificates, business licenses), policies (privacy policy, terms & conditions, returns/refunds, shipping policy), compliance docs (product safety test reports, labeling, COAs), tax docs (accounting setup, sales tax filings, federal/state returns, nexus analysis), insurance (GL and product liability), payment/security (PCI SAQ, policies), and operational templates (vendor agreements, supplier certificates, training checklists).