Should I Start an LLC?
A few announcements 🗣
🗓 MYM Newsletter Goes Bi-Monthly June & July - We love connecting with you each week through this newsletter and we also love to take breaks ( 😂….that’s one reason we’re full-time keynote speakers.)
For the next two months, we’ll post once every other week. Next post will arrive June 13. 👊🏾
✈️ PLATFORM 2023 - Will and I will help at least 1,000 people build and grow a speaking business over the next two years. It’s on our vision board, so it’s happening. 🤷🏾♂️
We’ll be hosting a group of speaking rookies and seasoned vets in Dallas this fall. Be on the lookout for details this summer.
💰 Get Paid to Speak Course - Our “Get Paid to Speak” course is jam-packed with the essentials that you need to build your speaking business.
Every day that you delay starting, somebody else gets paid.
To LLC or Not LLC…That is The Question
Note: Nothing you read in this newsletter constitutes legal, accounting or financial advice. Consult your professionals in the aforementioned areas before making any decisions.
Want to fall into a black hole of information?
Type “Should I start an LLC” into Instagram, pull out a bag of Orville Redenbacher’s, and watch your soul slip away.
One of the top questions that we get: Should I start an LLC?
Let’s dive in.
Should I Start an LLC?
1. Legal Protection
One of the primary benefits of forming an LLC is that it offers personal liability protection.
The company's owners (known as members) generally have limited liability for the LLC's debts and obligations.
This means your personal assets are safeguarded if the company faces legal issues or financial difficulties.
2. Taxes, Taxes, Taxes…
I’ve owned DKR Strategies, LLC. for ten years. Five years ago, I converted the LLC to an S Corp (we’ll save this topic for a future post).
Let’s be clear, there are a host of compliance requirements like filing annual reports and maintaining proper records and annual fees (which vary by jurisdiction) associated with the LLC.
But even with this added layer of compliance, an LLC provides flexible tax options.
By default, it is considered a pass-through entity where profits and losses flow through to the members' individual tax returns.
This avoids double taxation.
However, as the owner of your LLC, you also have the option to elect corporate taxation if it aligns better with their financial goals. [This is where your CPA comes into play.]
3. Credibility & Branding
Here’s my last point.
As you begin to get more paid gigs, people will ask you for three standard docs:
✅ Bio
✅ Headshot
✅ W9
Your W9 could come in two forms.
Your personal name and social security number or
Your corporate name and EIN number
It hits different when clients understand they’re hiring a company versus an individual, even though you are the company.
And in our business…perception matters.
The Mic Drop 🎤
If you’re just getting started as a speaker (i.e., no one has paid you yet), then I would advise you to hold off on creating an LLC.
But as soon as you start reaching the $30-50K annual revenue mark, it’s something you must look into.
If you liked today’s newsletter, be sure to like, share, and comment below.👇
Take the Stage.
Get Paid.
Buy Your Freedom.
 | A guest post by
|