sole proprietorship

Forming an LLC or S-Corp for Your Tech Business or Consulting Practice

A step-by-step guide to forming an LLC (name search, registered agent, state filing, operating agreement, free EIN, business banking) and electing S-corp tax status, with filing fees and direct portal links for NY, NJ, GA, and CA, plus a section on 1099 contractor and consulting taxes.

In plain terms: This guide explains how to set up an LLC or elect S-corp tax status for freelance and consulting work. You can use it to register your business, get a free tax ID, and understand your self-employment taxes.

Why I recommend it: Most consultants should start as a plain LLC and only add the S-corp election once net profit is consistently past roughly $50-80K. Get the free EIN yourself — never pay for it.