Now You’re Getting Paid: Starting An LLC For Your Business And Why You Need To!

What’s An LLC?

A limited liability company (LLC) is the United States-specific form of a private limited company. It is a business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation.

Why Do You Need An LLC?

• Protection From Lawsuits – If something goes wrong with a video or someone wants to sue you…they can’t. They can only sue the company and for only what the company is worth. You are protected by the LLC because the LLC acts as its own person. It is its own entity.
• Paying Taxes (Eventually) – If you are really growing your new skills into a business, you are going to have to start paying taxes so you don’t go to jail.
• Business Expenses Are Tax Writable – Anything you need to run your business (such as the camera equipment and gear) are actually things you can write off as business expenses for your company. If you are running your business out of your home, that becomes a partial tax writable expense too. So when you have to pay your taxes, you get to ‘deduct’ the cost of your items. This way, you aren’t paying nearly as much for taxes but you are safe because you are legally set up.
• Record Label – You can also establish your record label if you want to start that too.

DISCLAIMER: Talk to a professional certified public accountant (CPA) for information in your state/country. I am not a CPA nor am I claiming to be one.