Regardless, you will need to apply for your business license regardless of what state you live in. As long as you're making money you need to claim it as a business. Otherwise you could get into the legal trouble with the federal government. There are many specifics regarding websites that are operating as a business so it makes it a little tough to give you more information that is specific. Hope this helps a little! -Jeska

Hi there, I think for the online businesses the LLC is the simplest and most protecting one - you have privacy, it is an easy way to invest your money and helps you stay anonymous for a long while. And you are not a sole trader! I am thinking to register other websites too this way... ---This post was edited to remove a commercial link. Read our discussion policies for more Community best practices.

An LLC is always recommended for start-ups. In the event your company gets into legal problems your personal assets are safe. You don't need to be located in the state in which you have an LLC. Delaware, Texas and Nevada are the three best states to consider. I would personally look at Delaware. ---This post was edited to remove a commercial link. Read our discussion policies for more Community best practices.

Theres alot to look into regarding an LLC - taxes, liability etc. We set up an LLC for our Franchise portal and ourSmall Business Small Business is doing great. Message Edited by StuartR on 04-20-2009 09:52 AM

I am thinking about getting a LLC set up for my mortgage forum, but what kind of liability can a free non-profit mortgage advice site have? You'll have to excuse me, I am not that net legal savvy. I can understand if you are offering a service or selling something, which I think would benefit from an LLC. But what do you think for me? Message Edited by StuartR on 04-20-2009 09:53 AM

Very helpful post, I'm also looking into LLC option for my websites. I found only quite succesfull websites are running under LLC, though.

LLC's can be very pricey through attorneys, but you can also save money by obtaining the documents online and filing them yourself... Joel McLaughlin Dataflurry attorney marketing Message Edited by NicoleD on 12-11-2009 04:58 PM

The determination for LLCs or corporations of any kind is based on: 1. Do you have personal assets you want to protect? and 2. Can anyone claim personal damage due to what is said on your website? If you have no assets, don't worry about it. Even if someone got a judgment against you, it couldn't be enforced. Also, for all the hoopla about liability on the internet, I simply have not heard of a single case where a user sued the webmaster for false information. Most websites carry a disclaimer if they offer any sort of formal advice, like legal or medical. Other advice is just that: personal advice. If anyone knows of such a case, please let us all know. After that it is a tax issue. If your income is big enough to warrant tax issues, you probably have an accountant who can help you through this decision process. Yeah, I kind of think that LLCs are over kill for most websites. As it grows, you may want to revisit the issue. MaryAnnBusiness Plan MasterThe Business Plan for a Tough Economy

Thanks for the info Mary Ann! I agree with you, one of the biggest reasons to obtain an LLC is to protect personal property in the event of a law suit, which is a pretty good reason to consider becoming an LLC. Unfortunately, you can start a business and an employee can make a mistake that costs you all of your life savings, it doesn't even need to be your fault. I would recommend that any small business owners (especially in industries common for law suits) obtain an LLC. Addison Pre-Settlement Funding Message Edited by NicoleD on 12-11-2009 05:05 PM

You're completely right. Each small business owner should obtain an LLC. It's really important. Good advice ! Inktknal Oosteeklo Message Edited by NicoleD on 09-02-2009 05:21 PM