in the US, most states allow an LLC formation - this is usually cheaper and offers you some protection against losing your personal assets in a legal dispute. You need to be above board and document all your stuff (expenses, etc), don't mix personal and business use expenses, keep separate bank accounts, etc. To start with for most solo freelancers, this is fine. At some point - "incorporating" might make more sense, but the ceiling would be moderately high. Going for an actual 'incorporation' may make more sense if you have external shareholders and such, or are looking to take investment from outside. Until then, as a solo practitioner, an LLC is usually the simplest combination of protection and minimal legal record keeping.