How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 118772
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
Type Your Business Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

Im starting a sole proprietorship online business. What are the bare bone essential

Resolved Question:

I'm starting a sole proprietorship online business. What are the bare bone essentials I must complete to make it legit?
Submitted: 6 years ago via Nolo Press.
Category: Business Law
Expert:  Law Educator, Esq. replied 6 years ago.
For online businesses there is very little to do to actually make it "legit." Many people just operate the business without registering anything and do so for years and simply claim their income on their income taxes. A sole proprietorship is by definition is an unregistered business entity so for online business there is little to no formality required. If you want to form a corporate entity, a Limited Liability Corporation which is simple to form online with your secretary of state's office and you can then get a tax ID from the IRS website for your LLC and then you can operate the site under the LLC, but that is a bit more than bare essentials.

I hope you found my answer helpful, please click on the GREEN ACCEPT button above for my answer. This is necessary for me to be paid for my work and so that I can get credit for assisting you. Your question will not close, and you will still have the opportunity to follow-up if needed. Leaving a bonus and positive feedback is not required, but doing so is certainly appreciated!

If you have additional questions, please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous.

There can also be a delay of an hour or more in between my answers because I may be helping other customers or taking a break.

You can always request me through my profile at or beginning your question with “For PaulMJD…”

Customer: replied 6 years ago.

If I ever need help, can I hire someone under a sole proprietorship, pay them, and still file my income taxes the same way? Or would I have to start an LLC the minute someone else is working for me?

Expert:  Law Educator, Esq. replied 6 years ago.
Yes, you could hire someone as a sole proprietor, but then you have to pay employment taxes and workers compensation insurance on them in compliance with the law.
Law Educator, Esq. and other Business Law Specialists are ready to help you