Welcome backFinish your .
You don't need to file paperwork to start a sole proprietorship. But there are some things you may want to consider to get the most out of your business.
If you're in business for yourself and you haven't created a formal business structure, then chances are,
you're already a sole proprietor–so make sure you understand the implications.
Sole proprietors are personally liable for the debts of their business. If the business is sued, your house, savings, and other personal assets are at risk.
A sole proprietor is responsible to report all business profits as personal income, and pay self-employment tax on those profits, to cover Social Security and Medicare.
A sole proprietorship is simple to start, but that doesn't mean you should let your guard down.
A little preparation goes a long way.
If you're a sole proprietor, the legal name of your business is your own name. In most states, if you want to operate the business under a different name, you'll need to file for a DBA, "doing business as."Learn about DBAs
You may need state or local permits and/or licenses to legally operate your business. We can help you figure out the business licenses you need.Learn about business licenses
As a sole proprietor, you'll be personally liable for your business's debts and other liabilities. You may want to consider operating as a limited liability company (LLC) instead, so you're better protected.Learn about LLCs
Business taxes can be complicated. Once you join our Business Advisory Plan, our partners at 1-800-Accountants can help you prepare and file your tax forms correctly and on time.Learn about Business Advisory Plan
We're available Mon-Fri 5am-7pm PT,
Weekends 7am-4pm PT
Our agents are based in the United States.
Get legal advice from an independent attorney at a price you can afford.
This public forum is not intended to provide legal advice and is not a substitute for professional legal advice. Unless specifically indicated, the content is not drafted, supported, or vetted by LegalZoom. It is simply a place for customers to help customers. If you need legal advice, LegalZoom can connect you to a licensed and independent attorney. If you are providing answers, please do not provide legal advice if you are not qualified or licensed to do so.