Timtherobot t1_jds51er wrote on March 26, 2023 at 7:35 PM

You should consult with a lawyer and an accountant here in Massachusetts. LLC offers some liability protection over a sole proprietor arrangement. May be some specific requirements for an LLC depending on what services you are offering. There are tax and ownership issues that you also need to understand.

A simple LLC should cost you $1k to set up - $500 for legal fees and $500 for filing with the state.

synaesthetist OP t1_jdsszop wrote on March 26, 2023 at 10:27 PM

Thank you! This is helpful to know and to budget for. Right now the two clients who have expressed interest would likely only amount to $2-3k of billable hours, so it’s good to know that it’ll likely cost $1k to get started.

Timtherobot t1_jdsyfck wrote on March 26, 2023 at 11:08 PM

Talk to a lawyer - their may be less expensive ways of doing it if you will only have a small amount of revenue.

But also speak to you accountant - I was given very good advice as a courtesy. Most of it was to keep business and personal funds completely separate.