Looks like it comes down to liability
Sole Proprietorship would be much easier and cheaper to set up, and the tax implications would be identical.
If I were planning to wrack up a lot of debt to start the business, an LLC would make a lot more sense. In that case, creditors could only come after the LLC's assets, not my own. But I'm not planning to incur any debt at all. I can get it off the ground with personal funds.
So it really comes down to liability. For a SP, my personal assets would be on the line if I got sued. For an LLC, they wouldn't. I suppose that could be mitigated with insurance, which might be cheaper than forming an LLC.
But all that still goes back to the original question...at what point do I need to worry about any of that? This is just an idea that popped in my head and I figured I'd give it shot. I've got no interest in investing any kind of time or money in legitimizing this as a business until I've got some proof it is viable. At this moment, it is absolutely NOT a viable business. I'm hoping it will be, but not even close yet. [Post edited by Tafkam Hokie at 08/14/2018 8:51PM]
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In response to this post by 48zip)
Posted: 08/14/2018 at 8:47PM