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Shop Templates Blog Freebies Meet Caroline Contact Sign In My Account Home / Shop Templates / Blog / Freebies / Meet Caroline / Contact / Sign In My Account All of the Info. No Judgments. ENGAGED LEGAL | Articles, Templates, and Guides on Running your Wedding Business Legally All the Info. No Judgments. Home / Shop Templates / Blog / Freebies / Meet Caroline / Contact / Sign In My Account April 26, 2024 The 2024 FTC Noncompete Ban: What Wedding Pros Need to Know April 26, 2024 / Caroline Fox On April 23, 2024, the Federal Trade Commission (FTC) rolled out the final rule on its game-changing update: a sweeping ban on noncompete clauses. But what does this mean for wedding planners, photographers, videographers, venues— and everyone else in the wedding industry? Read on, and make sure you get the PDFs and sample language provided by the FTC that I’ve linked!Read More April 26, 2024 / Caroline Fox / Comment Legal law March 19, 2024 Insurance for Event Venues & Wedding Venues March 19, 2024 / Caroline Fox If you’re opening a wedding venue or event venue, you’re making one of the largest investments in the industry. No other event or wedding pro is going to have to make such a large upfront investment— it’s just a completely different ballgame. To ensure you protect your investment, you have to think more along the lines of traditional brick and mortar businesses. And what does that come with? Insurance. Read More March 19, 2024 / Caroline Fox / Comment Legal venues March 19, 2024 How to Legally Start a Photobooth Business March 19, 2024 / Caroline Fox So, you’re ready to turn your passion for capturing joyous moments into a thriving wedding photo booth business! Now, let’s make sure your journey is as legal as it is fun….because let’s be real, drunk event guests LOVE a photobooth moment, and can get a litttttttle too excited about those tiny hat props… so let’s make sure we’re setting up your business to protect you legally. Read More March 19, 2024 / Caroline Fox / Comment Legal , Business photographers March 08, 2024 How to Legally Open a Wedding Venue or Event Space March 08, 2024 / Caroline Fox Before you dive into making this wedding dream a reality, there’s some legal considerations” we need to look at— yes, even before you buy the property! Let’s touch on some of the nitty-gritty steps of starting your wedding venue off on the right foot…. Read More March 08, 2024 / Caroline Fox / Comment Legal venues February 16, 2024 How to Legally Start a Wedding Planning Business February 16, 2024 / Caroline Fox Congratulations on embarking on this exciting journey into the world of wedding and event planning! Before you dive into selling your services and making wedding planning dreams come true, let’s talk about the nitty-gritty of starting your wedding planning business on the right foot with the right pair of Rothys—legally speaking, of course! Read More February 16, 2024 / Caroline Fox / Comment November 27, 2023 End-Of-Year Business Checklist- Let’s end 2023 with a BANG (and not miss the new Corporate Transparency Act!) November 27, 2023 / Caroline Fox WE’RE IN THE HOME STRETCH, Y’ALL! It’s happening. You’ve made it through wedding season (or are hella close!). But before you breathe that sigh of relief, make sure you’ve got your pieces in place for the end of the year. Here’s a quick list of things you need to make sure you’ve looked at to keep your biz green light on! Read More November 27, 2023 / Caroline Fox / Business , Legal November 24, 2023 Should a Photographer be a Sole Proprietor, LLC, Partnership, or Corporation? A quick breakdown November 24, 2023 / Caroline Fox What’s an LLC? Do I need to consider a corporation? Can’t I just stay a sole proprietor? These are questions almost every business owner asks! Maybe you’re a new photographer and deciding on the best way to start your business. Or maybe you’re a photographer who has been in business for a few years and who wants to add some liability protection. Your big question? What in the heck do I chose for my business entity? The majority of the business entities we see are one of four types: Sole proprietor, Partnership, LLC, or Corporation. Each structure has its unique role, spotlighting different strengths and considerations. Read on for a quick breakdown to help you choose the perfect pathway for your entrepreneurial journey. 1. Sole Proprietorship: The Solo Act Pros: Simplicity: Operating as a sole proprietor is straightforward with minimal paperwork. Heck, you might not even have to file anything at all. Full Control: You make all the decisions and keep all the profits. Cons: It’s all on you, baby. Personal Liability: Your personal assets are on the line for business debts, judgments against the business, or expenses incurred on behalf of the business. Limited Growth: It might be challenging to scale your business. If you go, it goes. If something happens to you, the business goes kaput. No legacy there. 2. Partnership: The Dynamic Duo Pros: Shared Responsibility: Partnerships allow for shared decision-making and workload. Someone will always be there to help in a pinch, and you’ve got build in backup! More Resources: Pooling resources with a partner can bring more money, skills, and connections to the table. Business Bestie; Having someone to share all the stress can be a GAMECHANGER. Cons: Conflict Potential: Differences in opinion or decision-making can lead to conflicts between the partners. In fact, a 50/50 partnership is the riskiest of all, due to the high chance of deadlock”— where the partners can’t agree on something critical and the company gets frozen” because it can’t act! Shared Profits: You split the profits with your partner(s). 3. LLC (Limited Liability Company): The Versatile Delight Pros: Limited Liability: The Owners’ personal assets are generally protected from business debts, judgements, expenses, or anything incurred by the business (so long as you follow the formalities of keeping finances separated!) Flexibility: Offers a middle ground between a partnership and corporation, with many options for management structure, taxation structure, and ownership structure (equity). Pass-Through Taxation: Profits and losses can be passed through to owners’ personal tax returns, making your taxes only a tiny bit more complicated. LLCs with more than one owner will need to file their Schedule Ks— unless they elect to be taxed like a corporation, which is more complex but can provide lots of tax benefits! Cons: Complexity: More paperwork and formalities compared to sole proprietorships or partnerships. State Requirements: Regulations vary by state, adding an additional layer of compliance. Piercing the Veil” — both LLCs and Corporations can lose their limited liability protection if the owners are comingling funds”— e.g. mixing personal and business finances. 4. Corporations: Structured for Scale Pros: Limited Liability: Owners’ personal assets are typically protected. Investor Attraction: Easier access to capital through the sale of stock. Photographers typically don’t need investors, nor is it worth the investor’s time to invest in something that won’t 5x their return. For this reason, I typically don’t recommend corporations for Photographers! Perpetual Existence: The corporation and the LLC both continue to exist even if ownership changes. Flexibility : While a smidge less flexible than the LLC, a corporation is also super easy to customize. Cons: Complexity: Extensive record-keeping and regulatory compliance. Double Taxation: Corporations are taxed on profits, and shareholders are taxed on dividends. Choosing Your Structure: Consider Your Business Needs If you’re a new solo business owner seeking simplicity and control, a Sole Proprietorship might be your entity choice. For a dynamic duo with shared responsibilities, Partnerships provide a collaborative platform to grow. If you crave versatility, limited liability, and pass-through taxation, the LLC may be your perfect...