How to Start a Photography Business in Colorado
How to Start a Photography Business in Colorado
(Step-by-Step Guide)
So, you’ve decided to start your dream photography business in Colorado—cue the dramatic mountain backdrops and cute families frolicking in fields. But before you grab your camera and start snapping photos, there are some essential steps to take to get your business officially up and running. Starting a photography business in Colorado isn’t as glamorous as taking those perfect portraits, but trust me—it’s worth it.
Disclaimer: I am not a lawyer or accountant, just a photographer who’s been through it. If you need professional advice, please contact a lawyer or accountant.
Step 1: Choose Your Business Structure
When you’re starting a photography business in Colorado, the first step is to decide on your business structure. You’ll need to choose between:
Sole Proprietorship: This is the simplest option, where you and your business are considered the same entity. It’s easy to set up, but if things go south (like a lawsuit), your personal assets could be at risk.
LLC (Limited Liability Company): This structure protects your personal assets from business liabilities, so if something goes wrong, your home or savings are safe. Plus, an LLC gives your business more credibility and is typically the best choice when starting a photography business.
Considering an S Corporation (S Corp)
At some point, I might make the switch to an S Corporation—mainly because of the tax benefits it can offer. However, it’s more paperwork and stricter rules than an LLC, so I haven’t made the leap yet. It's something to keep in mind for when your business starts growing or if you're looking to maximize tax savings down the road.But for now, my LLC works just fine for what I need!
Step 2: Pick Your Photography Business Name
Now that you've chosen your business structure, it's time to name your photography business. If you’re using your own name—like “Jane Doe Photography”—you’re all set. But if you want something more unique, you’ll need to register a Trade Name (DBA) with the Colorado Secretary of State.
A pro tip: Make sure the name isn’t already taken.
Colorado Secretary of State - Business Name Search
Step 3: Register Your Business Entity
When starting a photography business in Colorado, the next step is registering your business with the Colorado Secretary of State. If you’re setting up an LLC (which is highly recommended), you’ll need to file formation documents online. It costs about $50 and takes just a few minutes to complete.
Once your business is registered, you’ll receive a certificate of formation. Frame it, put it in your office, or just shove it in a pile and frantically look for it every once in a while like I do. Either way, you’ll need it for taxes and banking.
Colorado Secretary of State - Business Registration
Step 4: Get Your EIN (Employer Identification Number)
This step is super important for your photography business. An EIN is like your business’s Social Security Number and is required if you plan to:
Open a business bank account
File taxes
Hire employees (if that’s in your future plans- I know nothing about this.)
Step 5: Register for a Sales Tax License
When you start a photography business in Colorado, you’ll need to register for a Sales Tax License with the Colorado Department of Revenue if you plan to sell tangible goods, like prints or albums.
But here’s where it gets a little tricky:
Digital Files: If you’re bundling digital files with your photography services, these are generally not taxable. However, if you sell them as separate products, you may need to charge sales tax.
Destination Sourcing: Sales tax in Colorado is based on where your client is located (yes, it’s as complicated as it sounds). This is known as "destination sourcing."
Bottom Line: If digital images are included as part of your service, you likely won’t need to charge sales tax. But if you sell them separately, you probably will. To be sure, reach out to an accountant or the Colorado Department of Revenue. I research this a lot and there’s a lot of different information out there.
Colorado Department of Revenue - Sales Tax License
Step 6: Check for Local Licenses
Depending on where you're starting your photography business in Colorado, you might need a local license- both business and sales. Many cities or counties have additional requirements for businesses. To be on the safe side, contact your local government office and ask about any specific licensing requirements.
Step 7: Open a Business Bank Account
Separating your personal and business finances is critical when starting a photography business. Open a business bank account to keep your business funds separate, track your expenses, and make tax time easier.
Most banks will require your EIN and LLC certificate to open a business account. Plus, it feels pretty professional to have a separate business account—and you may even get a cool debit card with your business name on it.
Step 8: Get Insurance
Starting a photography business in Colorado means protecting yourself and your gear. It’s also necessary for working in certain locations. For example, many venues and open spaces in Colorado, including most (if not all) open space areas, require photographers to have liability insurance before granting permits. This coverage helps safeguard you against accidents, damage to property, or injuries that might occur during your sessions.
General Liability Insurance: Covers accidents like a client tripping over your tripod or dropping their kid on the ground (please don’t do that).
Professional Liability Insurance: Protects you if your client blames you for things beyond your control, like weather disasters or kids not cooperating.
Equipment Insurance: If you’re anything like me, you’ve spent a small fortune on gear. Equipment insurance covers theft or damage to your camera gear.
I personally use Hiscox Insurance, which has been great for my business. There are other options, like PPA or Thimble, depending on your needs.
Final Thoughts
Starting a photography business in Colorado might feel like you’re wading through paperwork more than capturing beautiful moments, but trust me—it’s worth it. When I moved from California a few years ago, I had to navigate all of this myself. It was overwhelming at first, but once I got the legal stuff squared away, everything else fell into place. Don’t get me wrong, I still have my moments of panic over paperwork, taxes, and license renewals, but hey—who doesn’t?
By getting your business legally established and protected, you’re setting yourself up for long-term success. Now go ahead and make magic happen with your camera, knowing your business side is handled.
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Starting a photography business can feel overwhelming, but it doesn’t have to be. In my mentorship sessions, I’ll focus on the creative and business aspects that drive your success, such as perfecting your craft, marketing strategies, building a strong portfolio, setting your pricing, and attracting clients.
Please note that while I can offer guidance on how to market your services and run your business day-to-day, I am not a lawyer or accountant. For legal and financial advice (like setting up business structures or tax guidance), I strongly recommend consulting with a professional.
Frequently Asked Questions about Starting a Photography Business in Colorado
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Costs vary depending on the structure of your business, but for an LLC, expect around $50 to register. You may also need to pay for local business licenses, insurance, and any other services you choose (like a website).
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Pricing can be tricky, but start by researching what other photographers in your area are charging. Consider your experience, the type of photography you specialize in, and your expenses when setting your rates. You can offer packages, hourly rates, or per-image pricing, but be sure to factor in all costs (including equipment, insurance, taxes, and marketing) when deciding on your prices.
Check out this CODB (Cost of Doing Business) calculator: https://nppa.org/business-cost-calculator -
Yes, insurance is highly recommended for photographers. General liability, professional liability, and equipment insurance are the most common types of coverage you’ll need. Many venues and open space areas require insurance before allowing photographers to work on-site, so having coverage protects you and your business.
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Yes! As a photography business owner, you can deduct business-related expenses, including your camera gear, software, and travel expenses. Always keep good records and consult a tax professional for more detailed advice.
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Many Colorado parks require permits, especially for commercial photography. Be sure to check the individual park's requirements before your shoot.