At which point during the process of setting up a small business does your employment legally change?

Question

pretty much self explanatory, going through the rigmorol of setting up my own business, nearly there but need to know when my liabilites change for insurance and tax purposes.

Answer 1

For taxes it really doesn't matter, you get taxed on the income so it changes when you make a profit.

For liability insurance, it changes when you have a customer or a location outside your home. For health insurance it doesn't matter, you need to get your own when you can't get it from other work or Cobra, or when you can get a better deal.

Answer 2

I just started my own business, too. I used the date that the company went "live" meaning when we were officially granted our LLC approval by the state we live in.

Answer 3

I don't know, but if your last name is Tran and your niece is about to start a card company called Creatime, then I think you are my uncle.