How do you establish a business?

[bcnu]

Sounds like you're on your way, but you already have some issues.

For instance, you say your PayPal is flooded with money, which is a good problem to have. However,
you don't mention how you are reporting that income on your 2012 tax return and how are you accounting for it this year? If you are a sole proprietor, you can report your business income on Schedule C and itemize the business expenses as deductions (website fees, development costs, business cards, etc).

You also need to have "terms and conditions" for any "members" area, not to mention the boilerplate legal disclaimers and a registered copyright agent for DMCA.

Not clear what you mean by "trademarking my business name", since you can only "trademark" a brand, so you'd first have to use your business name as a brand on your services. Are you registering it, which is completely optional in the USA? You can register in one or more states for short money (another deductible business expense), or in the USPTO for more money and more complicated, but you get national priority registration and can use ® on your brand when the registration is issued.

Did you program your web pages yourself or hire independent contractors? If independent, did you remember to get the copyrights, or at least an exclusive license in written agreements?

Have you thought about limiting your liability with an LLC or corporation? Insurance?

You should probably sit down with an accountant, at the very least, if not also an attorney and maybe talk to someone who is a business adviser.