Do you need to register LLC or some other type of business in order to drop ship/dropshipping business

It is not necessary to form LLC to get started. You can always register once your business grows. However, just from a business standpoint, your personal assets can be used to pay business debts if any.

Therefore, many chose to just start an LLC. Also, as your business grows you can opt for S tax status with LLC can provide you tax benefits.

Many CPAs & business formation companies offer this service at reasonable costs.

It is again a personal choice if you wish to incorporate or as a sole proprietor.

Posted In: Company Formation

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