Starting a new business can be costly, but U.S. startups have access to several federal tax credits that can help alleviate financial burdens and promote growth. These include the $250,000 R&D tax credit for companies engaged in developing new products and services, the small business health care tax credit which offers up to 50% of health care premiums, and the startup tax credit for retirement plans providing up to $5,000 annually for setting up employee retirement plans. Additionally, the CARES Act employee retention tax credit, applicable to businesses launched after February 15, 2020, offers up to $7,000 per employee for retaining staff during the pandemic, while the work opportunity tax credit incentivizes hiring from specific groups such as veterans and ex-felons. These credits require careful documentation and adherence to IRS requirements, but they represent significant opportunities for reducing startup expenses. Beyond tax credits, effective digital operations, supported by cloud solutions from companies like DigitalOcean, are crucial for long-term success.