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0 pointsjwr6y ago0 comments

Much of the advice given in this thread should be qualified with "at least in the US". For example, the liability problems are much less of an issue in the EU, and forming an LLC equivalent in most countries will not protect you from liability if you are the sole owner and you manage the company.

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fastball6y ago

Personal liability is absolutely still an issue in the EU as well.

ido6y ago

But will the same solution protect you?

When I was considering it here in Germany my tax advisor told me a UG[0] will mean a lot more bookkeeping and associated higher costs compared to remaining a sole proprietorship & that it will practically not likely to have any benefit in my case[1].

I can imagine less bureaucratic countries like the US & UK impose less of an overhead tho. For the life of me I can't understand why the German authorities are so resistant to entrepreneurship.

[0] https://en.wikipedia.org/wiki/Entrepreneurial_company_(Germa...

[1] I was doing game development consulting for various small companies, something I guess is unlikely to really get me sued?

ownagefool6y ago

In the UK you want the Ltd.

Sure, if you destroy a customers data on purpose, limited liability isn't going to help you. For a mistake, an Ltd with insurance is what you want.

If you're dealing with any reasonble amount of money, such as £40k+ per year, it's also more tax efficient.

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jwrOP6y ago

"Personal liability" is an overly broad term. In the EU a single baseless lawsuit does not bankrupt you, so if you feel you have your finances under control, it might turn out that sole proprietorship is not a problem at all.

This is what I meant by "liability problems are much less of an issue in the EU".

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