Hi wellness mamas- today's post addresses this important question: When do I know it's time to involve an attorney and set up a formal business?
The answer to this question is pretty simple. If you are taking clients, or holding yourself out as selling something, then you should think very carefully about what you are putting at risk by not setting up an entity like an LLC to contain your business.
If you own a house, have a retirement account, savings accounts, a car and the list goes on- really if you have any assets to speak of, then you should realize that if someone were to sue you, or if you developed debts that the business couldn't pay, you would have to dip into your personal assets to satisfy the judgment (pay the settlement or whatever the judge finds you responsible for) or pay off the business creditors.
Forming an entity is not that expensive, despite what some may say, and there are just a few rules you need to follow. More on this in a subsequent post.
Please reach out if you would like to learn more, and remember my friendly reminder from my first blog post- this is educational information designed to inform you of what you may not know you don't know. It is NOT legal advice, and you should get a local attorney to help you with your legal needs.