a sole proprietorship structure may prove a quick and easy choice. This is especially true if you just want to test out a business idea and not get too complex in terms of paperwork or taxes.”
When you're starting a small business on your own, choosing a setup - or business structure - can seem daunting. As a business owner, you'll most likely first choose whether to run your business as a sole proprietorship or an LLC (limited liability company). Your decision will have conseq...
Each business structure has its own advantages and drawbacks. Find out whether a sole proprietorship or an LLC is better suited for your next business.
By definition, a sole proprietorship means that an individual has complete control over all decisions made for the business without needing to consult any partners or members as they would within an LLC. While this type of freedom may appeal to some entrepreneurs, it's important to remember the...
When you're starting a new business, it's important to set up the right business structure. Most small business owners favor either a sole proprietorship or a limited liability company (LLC). But how do you know which one is the right choice for you? This guide will ...
Sole Proprietorships When you're planning a new business, you must do some careful planning, including picking the type of entity that fits your needs. For small business owners who aren't interested in establishing a partnership, three entities are available: Corporations. Limited liability compani...
Sole proprietorships are only good for very low-profit/low-risk businesses. Example:A sole proprietorship can be a good way to start out if you are doing business on a small scale or want to try out a low-risk venture to see how successful it will be. ...
An LLC usually costs more to form and maintain than a sole proprietorship or general partnership. States charge an initial formation fee, and many states impose ongoing fees, such as annual reports and/or franchise tax fees. Regulations and fees vary state by state, so be sure you’re up-...
However, there are limitations to a sole proprietorship. For one, I am liable to lawsuits, and if someone chooses to sue me, my personal assets are at stake. Similarly, if my business is in debt, creditors can go after my home, car...
Sole proprietorships are easy to form but lack the protections of an LLC. Review your tax & liability needs when considering a sole proprietorship vs LLC