Do you need an LLC before starting your microgreens business?
Not necessarily. You can start selling as a sole proprietor without an LLC, especially if you're just testing the waters or operating on a small scale.
However, forming an LLC does have some advantages, including:
Liability protection: It separates your personal assets from your business, protecting you if something goes wrong (e.g., a customer complaint or legal issue).
Professionalism: An LLC can make your business look more established and credible to customers, especially restaurants or grocery stores.
Tax benefits: Depending on your income and setup, an LLC may offer tax advantages over operating as a sole proprietor.
That said, forming an LLC involves some upfront costs and paperwork, which might not be necessary right away. I’d recommend starting simple and focusing on building your business. Once you're making consistent sales and know this is something you want to scale, that's a good time to revisit the idea of forming an LLC.
If you're unsure, talk to a local small business advisor or check with your state’s business regulations to make the best decision for your situation.
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Mike Hicks
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Do you need an LLC before starting your microgreens business?
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