Updated: Oct 2, 2019
DISCLAIMER: I am a CPA, but I am not your CPA. The information in this article is for informational purposes only and is not tax or legal advice, nor can be relied upon as such. The author is not liable for any losses related to actions or failure to act related to the content of this article. If you need specific tax advice consult with a CPA who specializes in your subject matter and taxing jurisdiction.
Do you have a great idea for a work-at-home business? Is there an awesome MLM business that you’re passionate about and you want to start your entrepreneurial journey with? Are you already a Stay-at-Home-Mom to your growing family and want to add a few daycare children to your home? Go for it! Start that business, Mama.
Owning your own business, especially one you can do from home while raising your children, will open a lot of doors for you to be the type of Mama you desire to be. Entrepreneurship allows you to set your own schedule, choose the type of work that brings you joy, and utilize your talents.
But, getting that business legally set-up in your state might be a road block for you. For starters hiring a lawyer or an accountant to assist you in this process could cost you anywhere from $200 - $1,000. If you are planning on just running a part-time business or a side gig, this could be all of your income for just one month or even two in some cases. It’s simply not affordable.
After finding out the cost to hire some outside help maybe you decided to tackle this process all on your own. If you visited your Secretary of State’s website you may have been bombarded with 20+ different forms and what appears to be dozens of different ways to form your business. You probably felt that there are too many choices; and especially too many that you don’t understand.
Don't worry Mama because I created this great free printable, Business Entities At-A-Glance, so you can begin to understand and compare the types of entities that are available for your mom business. Not only do I lay out what each entity type is but I give you the benefits and negatives for each type. I then take it one step further and give my recommendations as to the mom businesses that would best be suitable for each type of entity.
Print off this freebie and then spend some time over the next week completing the following action steps to get you closer to forming your mom business:
1) Visit your state’s Secretary of State Website.
Find out the cost to form each entity or just your most favored entity choice.
2) On the printable, mark all the benefits that apply to you for each business entity.
3) Circle all the negatives that you feel will be a hindrance for mom business.
4) Place a star next to any entity choices in which your business line was mentioned as suitable for.
5) Look at your markings and see if one entity choice stands out.
If you are still unsure of how to form your mom business or you need help getting all the forms correctly filled out, then let me help you a little further.
My Entity Selection Toolkit contains everything you need to get your business setup.
The toolkit contains a short ebook in the beginning outlining in detail the benefits, negatives, and steps to form each business entity. After reading the ebook if you are still uncertain as to which entity you should choose, then you can check out the Entity Selection Questionnaire contained in the toolkit.
The Questionnaire contains 9 simple “yes” or “no” questions to answer about your Mom Business. After answering the questions review your results with the answer key and then follow the action steps to setup your business.
I even help you complete those action steps and provide all the resources you need in the toolkit. Not only do I explain how to fill out the forms required by your state; but I also provide you with templates for preparing your own Corporate Bylaws, Partnership Agreement, or LLC Operating Agreement.
Don’t hesitate one more moment to get your Mom Business off the ground and running. If you’ve been dragging your feet for some time now, taking the steps to organize your business as a legal entity may be the nudge you need to keep the ball rolling on starting your business.
You got this Mama!