The Foundational Five Steps
1. Write a business plan for your record label.
2. Pick a name for your record label and trademark it.
3. Incorporate your business, preferably in Delaware.
4. Apply for bar codes from the UC Council.
5. Register a domain name and build a web site.

The Next Seven Solid Steps
6. Start signing artists and pressing up records.
7. Hook up with a record distributor.
8. Hire a publicist (or do it yourself).
9. Hire a radio promotions company.
10. Start selling records.
11. Get a good accountant.
12. Pay your artists, on time and in full.

The process of naming your record label can be as nerve-racking as naming a human baby. Because you want the name of your record label to be passed along easily by word-of-mouth, make sure it is easy to understand and repeat. Those with unusual name ideas know this can present a challenge, but can also provide for a memorable label name, once people have it in their minds. Also, shorter label names are usually more memorable and less likely to be sources of confusion. Once you've picked your name, point your browser to the U.S. Patent and Trademark Office (www.uspto.gov) so you can file a trademark for the label name. You can also search to make sure that another record label doesn't already exist with the same name. The trademark filing fee is only $335, payable by credit card or check.

Go to Step #3: Incorporate your business, preferably in Delaware.