Blogging is a serious business. Not just in the sense that people put a lot of effort into their blogs, but in the sense that many people actually earn money and even completely support themselves by blogging. If you’re that committed to your blog, though, you don’t want to keep acting as though it’s just a hobby. No, you need to formalize things by creating an LLC.
Why An LLC?
There are a number of different business structures available to anyone seeking to incorporate, so why should you form an LLC? The main benefit of forming an LLC is that the structure is less formal than what’s required of most other business models. It also provides valuable asset protections and is inexpensive to start. Considering that your business operates entirely online and may not even sell any services, you want to keep your business structure as simple as the operation it protects.
In addition to being simple, there are also a lot of useful resources that can help you get your LLC started. These include other blogs and publications, consultants, and local small business services, as well as plenty of free guides. This is on top of the various resources for creating your blog or improving your monetization practices.
A Question Of Taxes
Compared to many other businesses, the asset protections stemming from developing an LLC aren’t usually as important for blogs. Sure, it’s reassuring to separate your business’s assets and those belonging to you or your family, but you’re unlikely to amass significant debts or other costs that would put them at risk unless you do a lot more than a blog. No, the financial benefit that’s most valuable to bloggers is the tax advantages associated with an LLC.
As an LLC operator, you can sidestep traditional self-employment taxes and instead opt for pass-through taxes, may qualify for more extensive deductions, and gain access to special retirement account tax savings. This is how forming an LLC will really save you money.
Become An Authority
Besides the financial advantages of forming an LLC, one of the most valuable things that bloggers gain by opting to formalize their platforms is that it makes your blog – and anything else you do that grows out of it – seem more authoritative. If you’re interested in attracting advertisers or affiliate marketing to make more money, having LLC after your name can make other businesses more interested in partnering with you. Similarly, if you want to guest blog or write for more traditional publications, your LLC status will open doors for you.
It’s never too early to consider incorporating as an LLC; you can monetize a blog with fewer than 1,000 visitors a day. Many experts on blogging and entrepreneurship even suggest that the minute you start drawing income, no matter how minimal, it’s time to formalize your blog. Remember – your time is money, so make it profitable and tend it well. You have a story to tell and expertise to share, and you have every right to support yourself and your family with your blog-based business.