3 {{ upvoteCount | shortNum }}
3 {{ upvoteCount | shortNum }}

Incorperateing or LLC

by Actionrat
2 replies
For those of us that are offering virtual services (SEO or reputation management for example), is it wise to establish a LLC in our given state? I certainly can see how it would help in closing a deal with a prospective client, if you are asking them to make payments to my company as opposed to me as a individual. I believe there are tax and other advantages as well.

What do you guys think? Is this something that i should be doing ASAP?

I believe its a few hundred dollars in my state (LA), and without any clients at the moment, its difficult for me to determine if this is a wise idea or not.
#incorperateing #llc
  • Profile picture of the author Jonwebb
    I'd always use an LLC over INC any day. You get the best of both worlds, you get the protection of an corporation without the extra taxes problems. With an LLC as long as you are the only owner (or member) you can report your earnings and losses on your own returns. LLC wins in my book

    to answer your question about rather you should do this asap, I would instead file a "doing business as" as a individual it gives your company that "bigger company feel"
    Signature
    "How to value a business or Website for purchase"
    {{ DiscussionBoard.errors[7536797].message }}
  • Profile picture of the author aceshigh888
    Originally Posted by Actionrat View Post

    For those of us that are offering virtual services (SEO or reputation management for example), is it wise to establish a LLC in our given state? I certainly can see how it would help in closing a deal with a prospective client, if you are asking them to make payments to my company as opposed to me as a individual. I believe there are tax and other advantages as well.

    What do you guys think? Is this something that i should be doing ASAP?

    I believe its a few hundred dollars in my state (LA), and without any clients at the moment, its difficult for me to determine if this is a wise idea or not.
    NO WAY... don't do it. Trust me, this is coming from experience. If you wanna complicate your life then do it. Or if you start to make say 1million per year, then you do it. But not until that point. If you're worried about liabilities then just get general business insurance. Just get a trade name (sole propriatorship) don't get a corporation whatever you do! You'll be taxed personally and on your corp, it can quickly turn into a tax nightmare!
    Signature
    EXERCISE: Take a deep breath, hold for 10 seconds, release. ..... There see you feel better now???
    {{ DiscussionBoard.errors[7536933].message }}

Trending Topics