Running a blog as a sole proprietor can be an easy way to get started, providing you with the opportunity to start working right away. Many people choose to go down this route, and it often makes sense when you’re not making much money from your blog.
As time goes on and your audience grows, though, you could start earning some real money from your blog, and this will make it well worth spending some time to incorporate your business. To give you an idea of why you’d want to do this, this post will be exploring the benefits of having your blog operate as a proper business.
Is It Worth Incorporating Your Blogging Business?
When a business is incorporated, it will become its own separate entity. This means that it can have its own bank accounts, take out its own loans, and even act as an individual in transactions. This offers a lot of protection to the owners of the business.
For example, if you’re company is set up like this and goes bust, you won’t have to cover loans or debt with your own finances; the business will simply lose the money. Of course, this can also provide a lot of legal protection, saving you from the issues that can arise when a business doesn’t have the right set up.
Incorporated businesses have more rights than normal people. While this sounds bad, it’s mostly because companies have to deal with situations that simply don’t apply to the rest of the population, and this means that they need special rights to manage this.
A good example of this is having the right to trademark a brand. Alongside this, companies are also able to act in a similar way to individuals in large transactions, with options like a strawman account giving a business the opportunity to play the role of a normal person. Of course, though, this sort of benefit should only be used for operational ease.
Expanding your blog to take on more writers and be able to create more content is a natural step in the growth process. You need to make sure that you have room to grow in the future, and this can be a challenge if you’re not set up as an incorporated business.
Getting this part of the job handled early will mean that you can transition smoothly into taking on a team and growing your blog, without having to wait for paperwork to be processed. It will be much easier to adopt the new practices you need to use as an incorporated company if you’ve been running like this for a long time.
It’s all too easy to ignore foundations and structure when you’re starting a blog. After all, you can start a blog in one sitting, and run it on the solo for years before you branch out. Many people treat their blog as a side hustle, and don’t expect their blogging side hustle to make much money. This doesn’t mean that you won’t build your blog into a full-time business that generates a substantial income. As such, you should reap the business benefits you can get from it.