Blogging can definitely be a successful career for anyone that wants to take it seriously. Some of the most viewed websites are blogs, and many have grown into massive corporations with hundreds of employees. On that note, you might be wondering whether it’s worth turning your blog into a legal business entity. By default, a blog is not a business. You don’t have to register it as such, and you don’t have to even note it down or pay self-employment tax unless you generate a certain amount of income.
So, what are the potential advantages of making your blog a business, and how/when should you do it?
Gain legal protection
Why make your blog a legal entity? Because it can give you legal protection if things start going badly. For a blog, this can actually be so beneficial. Especially if you give advice or write about other people/companies. It’s very easy for someone to sue you because of something you’ve written. But, if your blog is a legal entity, they will have to sue the blog, not you. Therefore, any money owed will come out of your business accounts, not your personal wallet.
When to make your blog a business
You can technically do this right away, but it does cost money to set up a business and continue running one. There are all sorts of fees involved, so it makes sense to deal with this when you can afford to do so. Generally, a good idea is to make your blog a business when you’re attracting enough attention to make a decent amount of money from it. If you are over the threshold to start paying tax, this is a good point to turn your blog into a proper business.
Remember, this isn’t a strict rule or the law – it’s entirely up to you, but that’s just a good suggestion to consider.
How to make your blog a business
Making your blog a business requires you to choose a particular business structure. Now, you can run it as a sole proprietor, but this means you are liable for everything, so it kind of defeats the purpose. Instead, your options will likely be a corporation or LLC. Setting up a corporation is very long-winded, and it probably doesn’t suit a blog that well. Only because you need things like executives and officers to set it all up, which is very challenging.
Instead, an LLC (limited liability company) is the best approach. You can setup an LLC with StrategyPlus online, and it’s fairly straightforward. Certainly, fewer things are required when compared to a corporation. LLCs are also more affordable to create and run, which is another advantage. The best way to set your blog up as a business is definitely to find a company that provides this sort of service for you. It will make everything so simple.
To conclude, running your blog as a business makes sense if you’re making a lot of money and it’s become a full-time job. The best approach is to become an LLC, and everything can be set up online.
