Is it best to operate a network marketing business in my name or as a company/business name?

I am currently self- employed and wanting to start a network markeitng business for extra income and to hopefully one day retire from the other job. Would it be better to operate it as LLC or corporation. I want to avoid more taxes.

Is it best to operate a network marketing business in my name or as a company/business name?
That's a question you'll have to answer yourself. You may operate as a sole proprietorship and avoid hefty double taxation you will take under the corporate form. However, it will be harder to obtain start up capital, and any debts you leave unpaid you will be personally accountable for. This means you could loose your car, your house, and anything else a creditor thinks they could sell.





Structuring as an LLC will limit the ability of creditors to take what you own, strictly restricting them to the assets of the business. However, you will have to pay more out in the form of taxes and fees, as well as have some other responsibilities that vary from state to state (Keeping corporate minutes, quarterly reporting, etc.). No double taxation with an LLC though, so if you want to incorporate, that's the way to go.
Reply:Congratulations for making your choice. Learn more about network marketing from those that already sitting at the top now. Their archive articles will spark our thought together with recommended links by Google for us to visit and enhance our knowledge. Good luck...!
Reply:Krystal...from what I've learned. Starting a business as a corporation offers you protection. for instance should the business fail or run into bankruptcy [not being negative]you could always file for bankruptcy and not have it affect your name, or should you get sued they can only go after what the business owns. In other words a corporation is a totally and separate entity by it self. I suggest you keep doing searches get your answer then decide. I applaud you for even thinking about such a venture. You go girl. [p.s. When you get started avoid people who are telling you or giving you reason why it wont work or such. In other words surround your self with "yes" people. People who have a willingness to support your idea. another thing try and talk to as many people who are already in business for them self. Talk to then ask question. Absorb as much as you can from them. This is one sure way to keep you motivated] . email me if you please: ansonenos at y....o dot com
Reply:With Network Marketing, most start out just using their own name. Usually in the first year, there is not enough income to worry about getting sued or losing the business.


If you find it is really becoming lucrative, you can always change your status mid-stream.


Which company are you wanting to join? I ask that question because if the company has already experienced hyper-growth, the large incomes have already been earned. If you are starting one that is poised for hyper-growth and you have a plan, you might want to operate as a corporation right away.
Reply:LLC is the new trend for start-up businesses. It offers many of the same corporate protections as a normal C-corp, but with greater flexibility. Realistically, most new businesses fail, so avoid using your name on the door until you're well-established. this could save you some troubles later on. Sole proprieter is never a good idea, as mentioned earlier...unless you like the idea of personal liability.
Reply:Corporation for the tax advantages. Also the legal protection that a previous poster mentioned.





So have you started your network marketting business, or are you still in the process. I have one of my own and would like to swap ideas and/or information if you're interested. Feel free to contact, and good luck :)