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thirdkingdom

Hero
Publisher
I'm not sure about the legal implications of calling yourself an LLC when you're not, but I've set up a fair number of LLCs over the year. It's pretty easy, costs 100.00 up front and like 50.00 every year, and you can register it online in a matter of hours (at least in my home state). There's some legal protection that it offers, but no tax benefits that I know of. Bottom line, there's no reason for someone who wants to become an LLC to not file for one and get it set up relatively quickly. If you've got enough money to start a business that should be in your budget. Or you can do what I did which was start out as a sole proprietor and then register as an LLC when my business started to grow. Legally, I'm what is considered a "pass-through LLC" since I'm the sole member, and not much really changed when I made the switch. Since I'm the sole member I don't even need to have a record of yearly meetings!
 

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thirdkingdom

Hero
Publisher
Trust of them is so low many question if they’ve done the simplest of business things.

Yeah, exactly. I'm not sure why someone would tack an LLC onto their business name when it is trivially easy -- and not even necessary -- to actually become an LLC. Unless they didn't know what they were doing, I suppose, or just didn't care.
 

Sacrosanct

Legend
There's some legal protection that it offers, but no tax benefits that I know of.

The tax benefits I was referring to was when my ex-step dad had an LLC, and every year would have all board members meet at a resort and write it all off as a business expense as long as we all had a board meeting during that week. So basically, vacation you could write off as an expense.
 





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