Do I need an LLC to freelance?

Do you need an LLC BEFORE you begin to freelance?

The shortest answer is: NO.

You can be a freelancer WITHOUT filing an LLC. Just make sure to set aside money for taxes or research how to pay estimated quarterly taxes in your state.

Eventually, filing an LLC can help to protect your personal assets and can even have some tax benefits* (*I am NOT a tax professional - please consult one for specific tax advice).

If you have a partner, say in an e-commerce business, then an LLC is ABSOLUTELY CRUCIAL.

A Limited Liability Corporation (LLC) protects both partners’ personal assets from business assets (in the event of a lawsuit) and has the added benefit of outlining how the partnership will perform and how to dissolve it.

Typically, it’s pretty affordable (Wisconsin’s was less than $200) and if I can do it - I believe ANYONE can.

I don’t recommend using something like “RocketLawyer” because in my opinion and experience they overcharge for the service that you can do yourself and I’ve personally had issues getting them to STOP charging me when I’m done using their services.