Video: Why And When You Would Create A Company

In this brief video, Fred Wilf addressed whether and when to form a company. He explained the legal defaults that apply without an entity, distinguishing sole proprietorships from partnerships, and discussed the entity shield, tax treatment, asset ownership, and investors. He compared LLCs with corporations, and covered EINs, special requirements for nonprofits, the costs of forming and maintaining an entity, and business insurance. He closed with a cost-benefit framework for deciding whether to form an entity.