If you started your business as a sole proprietorship, it’s time to start thinking about changing to an LLC.
Naturally, there are a lot of questions that come with changing sole proprietorship to an LLC.
“How do you change sole proprietorship to an LLC?”
“What are the benefits of changing sole proprietorship to LLC?”
In this article I will discuss the advantages of an LLC and how to change your sole proprietorship to an LLC in order to get personal liability protection.
The #1 reason to form an LLC is for personal liability protection. By forming an LLC you create a “protective wall” between your business assets and your personal assets so if your business is sued then your personal assets (like your personal bank account, home, cars, properties, investments or anything that you personally own) will be safe and secure as they will not be considered a part of the business. If you don’t form an LLC, your personal assets will be at MAJOR risk if your business get sued.
You owe it to yourself to understand the differences between sole proprietorship and LLC and change to an LLC as soon as possible.