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Add You - Guide To Sole Proprietorships
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A sole proprietorship is a default business form. If you start your own business and do not form an official entity, you are a sole proprietorship. Congratulations! If you start a business with another person and do not form a business entity such as a LLC or corporation, you are not a sole proprietorship. You are a general partnership. Just thought I would be clear on that.
There are some major advantages to being a sole proprietorship. First and foremost, it is very simple. Obviously, you don’t actually have to do anything other than get the necessary business licenses for your area. You can just focus on making money with a minimum of administrative issues. This also makes it inexpensive to get up and running. Virtual Flowers and E-Cards
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There are some major advantages to being a sole proprietorship. First and foremost, it is very simple. Obviously, you don’t actually have to do anything other than get the necessary business licenses for your area. You can just focus on making money with a minimum of administrative issues. This also makes it inexpensive to get up and running.<
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There are some major advantages to being a sole proprietorship. First and foremost, it is very simple. Obviously, you don’t actually have to do anything other than get the necessary business licenses for your area. You can just focus on making money with a minimum of administrative issues. This also makes it inexpensive to get up and running.<
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There are some major advantages to being a sole proprietorship. First and foremost, it is very simple. Obviously, you don’t actually have to do anything other than get the necessary business licenses for your area. You can just focus on making money with a minimum of administrative issues. This also makes it inexpensive to get up and running.<
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Sole proprietorships are also very simple from a tax point of view. Since there is no official business entity, the finances of the business are handled on your personal tax returns. You report the revenues, expenses and so on with the Schedule C that goes with the 1040 form. Unfortunately, keep in mind that you will have to pay the self-employment tax, a whopping rate of 15.2 percent. If you are not aware of it ahead of time, it can be a killer when tax time rolls around.
If sole proprietorships are so easy, why does anyone form a LLC or corporation? Well, there is a major downside. As a sole proprietor, you are personally responsible for all of the debts of the business. This includes debts becaus
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