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Ask HN: Should I incorporate as a freelancer?

1 points by smockman36 ↗ HN
I've been freelancing for a few weeks and I am wondering if it's worth it for me to become an Inc, LLC, Sole Proprietor, etc. The only business expenses I've had this year so far are moving and office space. I will be working out of Philadelphia and currently have clients in Boston and Vancouver, but that will likely change as I get more clients. Additionally, I foresee growth as I have been doing similar jobs for my clients and will likely continue to do these types of jobs.

Thank you!

4 comments

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tjr
In my opinion, an LLC is reasonable for this sort of thing. I'd see a regular corporation as overkill, and a sole proprietorship not offering enough benefit to be worth doing.
smockman36
cool, thank you. is this common practice for freelancers?
tjr
Anecdotally, it seems common to me, but I don't have any real data from which to make serious inferences.
dsparkman
Go with a LLC. The paperwork requirements are minimal in most US states. It will also provide protection of personal assets in most cases, in the event there is a lawsuit, etc. I would also make sure that you get a general liability insurance policy.