Discussion Reply- William

Limited Liability company or LLC for short is a form of legal business ownership, that for the purpose of my small business is the best fit for my small company. LLC’s allow for greater protection for small businesses. LLC’s has other benefits compared to others including ease of operations, especially those similar to my independent consultations such as the one I have proposed. Additional, LLC provides significant tax brackets, that differ from larger corporate taxation, as initially my business will have more than two employees (taxid, 2020).
              The reason for this is that this will be a sole proprietor ownership, which will alleviate many costs associated with large companies. According to Fishman “Any independent contractor can form an SMLLC to own and run a one-owner business” (Fisherman, 2020) This allows for independents to be listed under state licensing as a single-member LLC or SMLLC).
              The second reason to list one’s company as an LLC is to shield them selves from lawsuits that may not protect their personal assets, much like sole proprietorship wouldn’t. This is ideal because if you do not choose to list your company as a limited liability, it will default to sole proprietorship, which may expose one’s assets for litigation in the event of a lawsuit. (secretentourage, 2015)
              These benefits aid in cost and budgeting without the pain of large corporate taxes, while still managing any business myself. Cutting costs, will be essential in the independent consultation market, with all the benefits of profits and securities.Fishman, S., & J.d. (2020, January 03). Should an Independent Contractor Form an LLC? Retrieved May 27, 2020, from https://www.nolo.com/legal-encyclopedia/should-an-independent-contractor-form-an-llc.htmlWhat is a Limited Liability Company (LLC)?: How Does an LLC Work? (2019, May 02). Retrieved May 26, 2020, from https://www.taxid-apply.com/faq/what-is-a-limited-liability-company-llc-how-does-an-llc-work/Best Business Structure Options for Freelancers, Independent Contractors, or Consultants. (2015, February 05). Retrieved May 27, 2020, from https://www.secretentourage.com/entrepreneur/best-business-structure-options-for-freelancers-independent-contractors-or-consultants/
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