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Young Entrepreneur Forums » General Business » General Business » Sole Propietorship vs. LLC for T-shirt line



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Old 06-10-2009, 06:19 PM   #1 (permalink)
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Sole Propietorship vs. LLC for T-shirt line

Hi, I am forming a t-shirt line based on designs I have created. I am just beginning to form the business, and was wondering if I should start a SP (DBA) or LLC.

I am located in California, and have heard there is an $800 annual fee for LLC. Also would I trademark my company name before I register my business? Anyone know the basic process? Thanks!
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Old 06-10-2009, 06:39 PM   #2 (permalink)
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I would go with an LLC. In my opinion the only reason to form an SP is because they are easy to form and dissolve. You assume all the liabilities though. You are much more protected as an LLC. The $800 fee must be a California thing. It may be beneficial to you to organize in Delaware. I think you have to organize your business first before you can trademark your name. On the website for the Secretary of State of California there should be a form where you can reserve your name until you are ready to organize and trademark your name. This will cost a fee though. They charge a fee for breathing the air inside their building it seems sometimes.
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Old 06-10-2009, 06:57 PM   #3 (permalink)
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Hey are creating a Street wear Line " the Hundreds Mishka 10 deep etc? If so You should definitely go for LLC. Hit me up on the Pm, cuz im creating a clothing line also!
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