Determine the type of music talent your record label company represents. Choose one genre and stick with it until your company earns a strong reputation.
Sit down with a professional business analyst to construct a strong business plan.
Starting a record label takes a lot of capital. Investors are minimal partners in your company; they provide you with the money and receive a return on their investment.
Take out a loan to cover costs that your investors don't cover. Present your business plan demonstrating long-term potential.
Apply in your state for a business license and get a tax identification number for state and federal government tax filing.
Secure your company name and logo. Apply and license your company name and business logo before you do business.
Hit the club scene and start scouting for talent. Start small at first, and let your clientele grow with you.
Negotiate fair terms before you and your clients sign any legal agreements.