Quote Originally Posted by monkeywrench133
You should form an LLC or corp of some kind NOW. One thing most people forget when they are setting up a small or home based business is Personal Liability. If you're running a business in your name and something goes wrong, YOU get sued. If you've got an LLC, structured properly, and something goes wrong, the LLC gets sued. It will sheild you, and your assets. So I wouldn't wait. Plus you want something in place for taxes before you start making money, not after.
The levels of protection afforded by incorporating aren't what they used to be. These days, even executives of traditional corporate structures are being held accountable for their actions in US civil courts. That’s why executive liability insurance is one of the fastest growing sectors of the insurance market.

The "shield" that used to be the us corporation is not as strong as it once was.

Your liability as the owner of a home based business operating as an LLC is really the same as if you were a sole proprietor ship. While the courts are always hesitant to seize personal property, if fitting, LLC status will not stop them.

-adam