By Stephen Windhaus
Through two decades of small business development in the public and private sector, I have learned that the legal structure of small business ventures revolves around the entrepreneur’s desire to protect his/her assets, while having the flexibility to direct revenue to one’s personal income with the least amount of expense, and avoiding a lot of paperwork. Until a few years ago, the “either – or” debate revolved around proprietorship vs. an S corporation. The introduction of the simple Limited Liability Company (LLC) changed that debate to either an LLC or S corporation. Again, the emphasis remains on liability, ease of accessing revenue for income and avoiding paperwork.
For the purpose of this column, please note that we are addressing the condition of self-employment with no employees, and for good reason. According to a Small Business Administration (SBA) report issued in December 2004, there has been phenomenal growth of self-employment. In the year 2000 there were 11.5 million non-agricultural ventures in the U.S. That grew to 12.2 million in 2003 of which 2.9 million businesses were unincorporated.”
LLC (Limited Liability Company) or S Corp: Which is Better or the Self-Employed? from The Corporate Bee, Feb. 2006. Quoted at the Small Business CEO blog.
[small biz] [rural] [LLC] [S corp] [self employed] [windhaus]
- Seasonal business: How to beat the annual “no bookings!” panic - August 8, 2022
- Recession? Practical steps from 3 international peers - August 3, 2022
- Reaching “at risk” kids for local jobs - July 15, 2022
- 3 Major factors in rural remote work: incentives, flexible workspaces, and a sense of community - June 6, 2022
- How to recruit new residents, remote workers, or remote entrepreneurs - June 2, 2022
- How cooperatives improve small town economies - May 8, 2022
- Metaverse business idea: virtual world tour guide - April 15, 2022
- Make extra money from extra workspace: co-working and 3rd workplaces in small towns - March 28, 2022
- Trade show booth design trend: hand drawn visuals - March 21, 2022
- New business sign design? Don’t use cursive script - February 14, 2022
