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An LLC owner (you) is not personally responsible for debts accrued through your LLC. Basically, if your business is sued — which it probably won’t be — then they can’t collect your personal assets, like your personal bank account, car, etc. Now that’s peace of mind!
Your LLC qualifies for “pass-through taxation,” which means that the profits, losses, and anything in-between “pass-through” the business to your personal tax return. What you pay yourself from your LLC are taxed at your personal tax rate.
Adding that little “LLC” at the end of your business name can lend some major credibility to your business. Customers may see you as a more “legit” business and therefore trust you more — even if nothing else about your work changes. Having an LLC also helps you confidently market yourself as a voice of authority in your field.
Welcome to the wonderful world of business ownership. Feels good, right? Luckily, it’s easy to keep your shiny new LLC blemish-free. Avoid the headache — and keep your business legit — with these important steps.
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