I talked to an Indie Hacker recently who didn't have any form of liability protection, so I wanted to share a quick guide with the community.
If you're a builder, content creator, or indie hacker operating under your own name rather than a business, you're risking financial ruin.
There are some easy and inexpensive steps you can take to mitigate this risk.
Thanks, it was also helpful to me. I don't own an LLC too, I don't know the differences being a sole proprietor or owning some kind of business. I don't get the taxation stuff either. I have too much to learn on business administration side and it's oddly doesn't click. Anyways I'm trying to save some to form an LLC in EU or USA, so far I have two options, E-Residency from Estonia(seems cheaper) or Stripe Atlas. Do you have any knowledge on these or any related suggestions for people outside of EU/USA.
It really depends on which country you're talking about. Establishing a limited liability company in Estonia and the United States is exceptionally fast and straight-forward. Other countries require more time and paperwork.
If anyone is interested in starting and registering a company in Germany- here is some info to help you on your journey. https://allaboutberlin.com/guides/categories/living-in-berlin/working/starting-a-business-in-berlin
Thanks Porsh, these are some useful articles, I'm gonna read'em all.
E-residency in Estonia isn’t (by itself) a method to create a company. It does make it easier to start one yourself, but you can also consider just paying some company in Estonia to create a company for you. There are hundreds of them. I would caution you though that Estonia makes it really easy to create a company but a pain in the a$$ to shut one down. All-in-all, creating one in the UK is probably the most efficient.
Thanks for the heads up Raymond, these two are the popular options around here. This is why I only knew about these. I gotta make a deeper research then.
Stripe atlas seems like a great deal. https://stripe.com/atlas
What's your take on it Nick?
Are you familiar with series LLCs for deleware? Do you know if they hold up in court?
Not sure about your specific situation, but it's generally a good idea to form an LLC wherever you're domiciled.
If you're forming a C Corp, Delaware tends to be a popular choice but I'm less sure about its reputation for LLC formation.
I agree in general, but you are also creating liability by creating a company. Creating a company comes with all kinds of tax and reporting obligations. I think the key is to have good judgement when your idea needs a company and when it doesn’t.
Good points, but in my experience entrepreneurs tend to be an optimistic bunch who are under-protected from a liability point of view. I've met far too many over the years still operating as sole proprietors with absolute exposure to their family's wealth and assets.
Money talk! Pricing, budgets, cashflow, revenue, online payments...