Should I Incorporate?

Question

I have 3 different business's that I am doing.
Web Design, Wedding Services, and retail(flea market)
Do I have to incorporate them all? Can I form one corp and file DBA's for each biz? Not sure what the best way to go on this is.

Answer 1

I would incorporate each seperately. Incorporation is always a good idea. The more corporations, the better. You can seperate your assets better this way. You could do the DBA thing, but its easier to seperate your assets for the IRS in case of an audit. It is true that it would cost more however.

Answer 2

Research, research, research – this cannot be stressed enough. Read as much as you can. Here are some book titles that are relevant:

* Ultimate Book of Forming Corps, LLCs, Partnerships & Sole Proprietorships by Michael Spadaccini
* LLC or Corporation?: How To Choose The Right Form For Your Business by Anthony Mancuso
* Legal Guide For Starting & Running A Small Business (8th Edition) by Fred S. Steingold

There are plenty of free informational resources out there. Check the source box for links to articles & sites.

Hope that helps! I wish you much success & happiness in all your ventures!

Answer 3

no matter what any thing bad happens in your business it goes on your credit. Incorporated or not. because anyone you get a loan for makes you as the owner cosign for. so you should just stay sole proprietor . you'll file one tax return for everything. much easier . if you incorporate and decide you have to close one of you business you'll have to pay a lawyer to do it for you and I know from experience its not cheap. good luck. hope I've been helpful.

Answer 4

I would start an LLC not a corperation. Do some online research and look at the pro's and con's.

Answer 5

yes, it is better to do that, but depends where or which country are you from.