Since the mid-nineties I have been a Founder, CEO, PMI Certified Agile Project Manager, Web PHP/Laravel Freelancer and Java Certified Programmer. I founded MySkills a software developer ranking system in Brazil. Also founded RiSE (Reuse in Software Engineering) a software reuse consulting company. I was also board member of Porto Digital a technology ecosystem with more then 100 tech companies in northeastern Brazil. Right now I live in Brazil and remotely help US tech startups build their products and services and fulfill their dreams.
Source: http://www.livefromsiliconvalley.com/venture/startup.html
Form a Corporation or LLC
The best way to do this is to have a service firm do the work for you with the state for a small fee. We have used, and reommend Legal Zoom.
Get a business permit
While the County of Santa Clara issues no licences, the mailtain a great list of all the individual cities and their phone numbers for their business/license permit offices. Check out Santa Clara County business license per page.
Santa Clara has reasonable fees. Check them out.
Get Business Cards
Try: VistaPrint
Get Insurance
A general liability policy is a small investment. We recommend:
Get a Bank Account
WAMU seems to have the best basic business checking, and no fees.
Get yourself a web site
We use 1and1.com and recommend them highly. Good service and reasonable cost, and free tools. You will have what you need fast.