I was wondering when/if what type of business you guys registered as with your state. I currently have about 35 customers would make about $6,000/year if they stayed with me the entire year. When should I register as a business?

Should I register as a LLC?

Those are good questions for your Accountant and Attorney to answer for you... Personally, for personal asset protection, I went LLC before I took in my first dollar!

My personal opinion is to register as a LLC to start with. We did the SP to start out with and the upgrade process has been a little bit of a pain. You aren't guaranteed your company name when you decide to change over to a LLC which could cause some problems. Also, the added protection of the LLC is nice.

Originally posted by rrdega
Those are good questions for your Accountant and Attorney to answer for you... Personally, for personal asset protection, I went LLC before I took in my first dollar!

I'm not rich and I'm not a criminal, so I don't have either of those ;)

Just register with your county as a DBA (Doing Business As)

Liability rest on your shoulders though and your assests are attachable.

You then file a Schedule C with your income tax.

We formed an LLC in The State of Florida. We filed online at a cost of $128 for processing fees and were already incorporated by the next day.

At the end of the year, I'll file for a schedule C. Schedule C is if you have more then $2500/year expenses, Schedule C-Ez is if you have less.

You could go the route of DBA, but I'd recommend just going LLC to be safer with your current size, and I am sure that you will have growth.

Since I live in Sweden not all information about business is easily translated. Could someone tell me what LLC stands for? That way I know what that should correspond to.

Originally posted by Reptilian Feline
Since I live in Sweden not all information about business is easily translated. Could someone tell me what LLC stands for? That way I know what that should correspond to.

LLC = Limited Liability Company

It's kind of a half-breed between a General Partnership and a Corporation.

Genocide, I would have to say thats something total up to you and your attorney. Becoming an LLC is a good idea, especially if you are thinking of doing this long turn. Not only for your protection but your clients as well. I have registered in the state of michigan... cost around $100-120 fee. Within 48 hours we had been approved.

I think we have something similar. I think it would be something like our "Private Firm" (corny translation, I know). We also have the Stock (market) companies and Trade Companies, but they need some money in the bank to begin with (if I'm not misstaken). They also need a Board of members (at least on paper). Private Firms don't need that but it's a legal entity that is especially useful for starting a small one person business.

Now back to the question of LLC or BSA...
LLC seems like the better option, as far as what the words tell me. I haven't looked over the legalities of it though.

Originally posted by Genocide
I'm not rich and I'm not a criminal, so I don't have either of those ;)

You don't need to be rich to have an accountant nor a criminal to have a lawyer. If you are in business, you should have both.

Way to put it Nyte. Even if you don't pay much for the lawyer, you at least need to have someone to consult with about legal issues.