Blog for Business need to set up LLC
If you’re running a blog LLC to make money, one question you might have is whether or not you should set up an LLC.
And maybe even if you’re not trying to monetize your blog, having an LLC is still a good idea.
So why do some bloggers start their blogs as companies instead of sole proprietorships? Here’s where things get complicated.
Treat Your Blog Business as a business entity
It will help if you treat your blog as a business. It is a business, after all, and so it deserves all the same rules and regulations that any other type of company would have to follow.
Here are some things you can do to ensure that your blog is operating within legal boundaries:
- Have a business plan. Like any other company, you need to know how you will make money, your target audience and what types of goods or services you want to offer for this business venture to succeed.
Suppose there’s anything I learned from my Sociology 101 class at community college.
In that case, every company needs some plan–and having one will help keep everything organized from the beginning.
- Get an LLC or corporation in place if necessary, like most bloggers today.
Benefits of Entrepreneurship Blog LLC
An LLC will help you organize your business, give it credibility and make it easier for people to take you seriously.
Here are some of the advantages of an LLC:
- Protection of personal assets – If someone were to sue your blog/company and win, they could not go after any personal assets such as real estate or cars.
- Tax Advantages – An LLC allows flexibility in setting up your taxes so that they can be treated more favourably than an unincorporated company would be able to do so efficiently on its own.
When Should You File for an LLC?
- When you have a business, your blog has reached a point where it makes money through advertising or other means. You may also consider filing for an LLC if you plan to expand your business.
- When you have employees, if your blog is making money and has assets, it’s time to consider protecting yourself from liability (and potential lawsuits).
An LLC limits the number of personal assets that can be accessed in case of a lawsuit instead of having those same resources in one personal bank account or checking account (which could quickly be frozen by courts).
- When you have a lot of assets, again, if there’s one thing we can learn from recent events: It’s better to be safe than sorry.
DBA versus LLC
When it comes to business structure, there are many options. The most common four are:
- DBA (Doing Business As) – A DBA is a fictitious name, which means you can use whatever name you want for your business.
-This is not different from using any fictitious name for yourself in everyday life (like when we all go by our Twitter handles).
-This has no legal standing; it’s just what people will know you as on paper.
- LLC (Limited Liability Company) – An LLC is a limited liability company that offers the ability to have multiple owners without having to deal with pesky corporate taxes or paperwork.
Additionally, you can decide whether or not each owner is an active shareholder – meaning they’re involved in making decisions about how the company operates – or passive shareholder – meaning their job shows up every once in a while when they decide they want some free money.
Growth can Equate to Valuable Assets
If you’re a blogger and your blog is successful, it can be worth a lot of money. If you don’t have an LLC, the value of your blog could be at risk if someone were to sue you or someone else tried to take ownership of it without your permission.
An LLC protects your assets and the intellectual property (IP) that goes into creating those valuable assets on which you stake your brand’s reputation.
If we’re working together under contract as part of an LLC arrangement, then she would own her creations as part of our overall project;
but if we’re not incorporated, and something goes wrong in our relationship down the road. She might decide she wants half or all of what she created because there’s nothing legally binding us together except verbal promises.
Conclusion
-This big question cannot be answered with a simple yes or no. It would be ideal if you thought about your business goals, your brand’s value, and risk tolerance before deciding whether or not an LLC is suitable for you.
Keep this article in mind when deciding – if you have any questions about how an LLC would work with your blog, we’d love to help.