I'm starting a small video production company in Arizona. I would like limited liability. I have a partner that will be helping with sales and marketing. Is it beneficial for me to create an LLC partnership or simply hire him as a contractor even though he will be doing half the work? I have also made the only investments and own all the equipment.
Responses (1)
Sole proprietorship is the best option, particularly if you're shooting porn. It protects your private assets in case of a lawsuit, and you won't be exposed to your potential partner (i.e. you can keep more money if the company makes it big, and it won't risk your capital resources to this dude's secret habits in the meantime).