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THE LEGAL STUFF – Part 1
In this video, Gary Winter (Managing Attorney at Lawvex) helps us navigate when it might be an appropriate time to legally formalize your business, moving from the self-employed category to business owner category.
Things to consider if you’re questioning whether you should form a legal entity:
Risk – are you operating in a high-risk activity? If so, you may want to shield yourself from liability; either by formalizing your business (forming a legal entity) or obtaining umbrella liability insurance.
Employees – this is a subset of risk, as employees are more likely to sue you than your customers are.
Size – size (meaning revenue) can matter. However, you should be making upwards of $120,000 (as a general rule) before considering forming a legal entity
We have more to come with this mini-series, but let us know your thoughts on this first video.
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