Here is why you should register an LLC before conducting business

So a lot of people start businesses and they do not register LLCs for their businesses so that they can save some money, which is totally understandable. But here's one of the downsides. The point of an LLC is to provide you with personal liability protections for debts and liabilities of the business. So it's totally fine to operate a business as a sole proprietor, which means that you don't have an LLC or a corporation, but keep in mind that you are subjecting yourself to more risk.. And while it is true that you can always file the LLC later on once you get the business moving, keep in mind everything that you do prior to the LLC being registered will fall on you personally. So that means any contracts you entered or any other business-related activities that you engage in will fall on you personally, and you will not have the protections of the LLC even if you register it down the road. The LLC only protects the actions and activities that you take once it is registered. Anything prior to it being registered are not protected.