Online Selling & LLC’s

moremoneymoremoney subscriber Posts: 4
edited September 2007 in Business Planning
If I sell something on Ebay, and it sells well, should I get a LLC? My products could injure someone if used the wrong way or if a child were to get a hold of them. I only market to adults but who knows where the products end up after my shipment arrives at the destination. When or how does a person decide to take the next step about LLC`s? I constantly hear ads on the radio for incorporating or forming a LLC.                 Dave

Comments

  • PiperTaxPiperTax subscriber Posts: 5
    Generally, I suggest against most businesses forming an LLC right away. Your business, however, sounds to me like the perfect candidate for LLC formation.
    If your products could potentially hurt somebody, you definitely want to take steps to protect yourself from liability. A good insurance policy wouldn`t be a bad idea either.
    There are several routes to forming an LLC: contact a lawyer, figure out how to do it yourself by visiting your state`s website, or use one of the online services like legalzoom.com or mycorporation.com.
  • pepperlegalpepperlegal subscriber Posts: 2
    I would agree that your business would greatly benefit from the limited liability that an LLC provides, however other business entities (like a corporation) may be better suited to you depending upon your particular situation.  I also agree that you should contact a lawyer to discuss those options, and remember, using many of the online services do not provide any legal advice, so you`re on your own if you rely upon them.
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