Where to start? Need advice!

[jenabean4]

Ok so I am looking to officially launch my photography business by the end of 2010! I am starting to get some paid gigs and want to get things rolling. I am pretty clueless so any help with be great. Also not sure if this is important but I live in NJ but will be shooting in both NJ and NY.

Here is my bucket list:

1-Need to establish business - do I go with Inc. or LLC. What is the difference?

2 - At what point do I need insurance? I am working with babies, children and pregnant women so I feel I should have liability and personal injury but again very clueless. I am going to ask my acct about it when I see him in Feb.

3 - I purchased my domain but need to get a website up, something easy, will pay someone to make it for me but dont want to go crazy. Any ideas?

[Dave.H]

This is advice from a bean counter prospective, not a photographer

1. Neither. Be yourself for a while, or if you really want a tax idea be a sole proprietorship.

2. Now. Insure your equipment and your liability

[danameless]

I may not be the best resource, but I try to help when I can...

1. I would talk to a lawyer regarding the differences and what is best for you. If I'm not mistaken, I think the primary differences are tax-related reasons so won't impact how you run your business. I talked to my lawyer before, and they noted it would be easier to setup a corporation first because you can set-up smaller companies under the umbrella to reduce your risk, but it got pretty confusing after that!

2. I would have professional liability insurance as long as your shooting paid gigs. It's not worth the risk if someone trips over your tripod or bag and get hurt. Especially with children running around, you open yourself up without insurance.

3. I think the least amount of work would be through a site like Smugmug or Zenfolio. With the higher end accounts, you can have your own unique domain name and all you really have to do is upload your pics and enter some info about yourself and your good to go. The only downside might be that your site will look like a lot of other people's sites, but if that doesn't bother you then that is probably the easiest.

Good luck with your business!

[jenabean4]

Thanks!

Ok so here is my next dumby question. Do I need to establish a business name before I get insured?

[lotsofphotog]

1. I went with LLC because it covered me more (though, I can't remember why). This was between LLC and sole proprietor, though.

2. Yes on insurance.

3. Bludomain.com has lots of great websites. I use one of their templates.

[C-Shuler]

From what I understand, an LLC doesn't change much in the way of taxes when compared to Sole Prop (although it can help if you are a partnership LLC, but not partners that are married to each other). A Corp will make a difference in taxes, but not much until you really start to bring in some money. One reason for going the LLC route is that is separates you from the business so that just in case of serious business losses, your wont lose your house (to put it simply). However, each state is different in regards to how much it costs you to become an LLC. So, look into that. I hear that it is outrageous to become an LLC in California, not sure what other states charge outrageous fees. I went the LLC route as a partnership, but didn't realize the loop hole about being a married partnership that brings us back to regular LLC taxation, argh!

[jenabean4]

From what I understand, an LLC doesn't change much in the way of taxes when compared to Sole Prop (although it can help if you are a partnership LLC, but not partners that are married to each other). A Corp will make a difference in taxes, but not much until you really start to bring in some money. One reason for going the LLC route is that is separates you from the business so that just in case of serious business losses, your wont lose your house (to put it simply). However, each state is different in regards to how much it costs you to become an LLC. So, look into that. I hear that it is outrageous to become an LLC in California, not sure what other states charge outrageous fees. I went the LLC route as a partnership, but didn't realize the loop hole about being a married partnership that brings us back to regular LLC taxation, argh!

Yes this is what I am interested in knowing. I worry about losses and such and dont want my home or personal finances to be in trouble...so I would like to go LLC even if it is a little more up front, I think it is worth it. Thanks for the advice.

Does anyone else have advice on where they started, who did you contact, etc? Also what if I start my company in NJ but then move to another state, then what do I do?