Establishing a Sole Proprietorship in Illinois – What Every Business Owner Should Know

Web Admin - Friday, December 15, 2017
Illinois employment law attorneysStarting a business can be a massive undertaking, and it all begins with deciding how you will structure it. For those considering a sole proprietorship, an in-depth understanding of the risks and process is crucial. Learn more, including how an attorney can provide the added protection and experienced assistance that is needed, from the following information.

Is Sole Proprietorship Right for Your Business? 

Before making a final determination on whether a sole proprietorship may be appropriate for your start-up company, consider all the elements of this business structure carefully. For example, one must understand that sole proprietorships are for businesses with only one owner. Partnerships and corporations must register their businesses in other ways. Second, know that there are more liability risks for sole proprietorships. If your business is in a high-risk industry, a sole proprietorship may not be the most appropriate business structure. Alternatively, if your business is at a low risk of experiencing a lawsuit, a sole proprietorship could offer you numerous benefits. 

First, sole proprietorships do not have to legally register as a business with the federal government, and that can save you a substantial amount in the startup of your business. Depending on your situation, the pass-through taxation of sole proprietorships may also serve as a benefit for your budding business. However, this is not always the case. Advice from an experienced attorney and a CPA is highly recommended for those considering this structure for their business. 

A Closer Look at the Risks of Sole Proprietorship

Starting a business is almost always risky, but those starting a sole proprietorship hold all the liability if their company goes under. That means you – the owner – would be liable for any debts that the company incurred. You would also be liable if an employee was injured on the job, or if they filed a legal complaint against your company. Thankfully, it is possible to take preventative action against many of these risks, as well as many others. 

Contact Our Crystal Lake Business Law Attorneys 

Whether you need assistance with deciding which business structure may be most appropriate for your company or want an in-depth analysis of the possible risks your business could face in the future, Drost, Gilbert, Andrew & Apicella, LLC can help. Committed to your best interests, our experienced Crystal Lake business law attorneys take a preventative approach to protecting your company’s financial future. Schedule a personalized consultation to get started. Call our offices at 847-934-6000 today.

Ken ApicellaAbout the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.



Recent Posts


personal injury law firm caretaker rights medical research Schaumburg estate planning lawyer rent to own real estate contracts special needs trust Illinois insurance claim dispute lawyers car crash injuries foreclosed rental property jet ski accidents Barrington Illinois estate planning lawyer Inverness elder law lawyer Palatine criminal defense lawyer Buffalo Grove corporate attorney social media after death premises liability Illinois pet lawyer Des Plaines personal injury lawyer Joliet general practice lawyers Palatine estate planning lawyer Arlington Heights tax lawyer Arlington Heights car accident lawyer anesthesia errors product liability car crashes Palatine business attorney trucking accidents Employment Discrimination Law Illinois bicycle safety Kenilworth estate planning attorney Schaumburg employment law attorneys Chicago traffic lawyer employee rights Crystal Lake medical malpractice attorneys blood alcohol content llinois Real Estate Lawyers Association gift taxes hiring employees cell phone tax attorney Crystal Lake criminal defense attorney Chicago will attorney, social media platforms, Illinois estate planning lawyer, Illinois mortgages Des Plaines collections attorney loopholes operating agreements PTSD Chicago employment attorney Attorney Ken Apicella Illinois will lawyer Buffalo Grove traffic lawyers Food and Drug Administration's Food Safety Modernization Act low-ball insurance settlement Schaumburg corporate attorney Barrington estate planning lawyer probate Illinois insurance disputes employees federal crimes insurance claim Schaumburg personal injury attorney workers comp drug crime South Barrington real estate lawyer Illinois traffic accident lawyer Exclusions Crystal Lake personal injury attorney Illinois Transfer on Death Instrument drunk driving statistics Kenilworth estate planning lawyer Schaumburg wrongful death attorney corporate law civil rights violation Crystal Lake traffic attorney bad faith insurance claims boating DUI Arlington Heights Attorney food poisoning Rolling Meadows personal injury attorney traffic violations privacy construction accidents Illinois defective products attorney Des Plaines accident attorney income distribution deducation Illinois DUI attorney BAIID pedestrian-automobile accident Illinois probate lawyer Arlington Heights wills and trusts lawyer nursing home negligence Arlington Heights estate planning attorney insurance agents natural gas fiduciary rule Crystal Lake civil litigation lawyer capital gains tax digital evidence Deer Park accident attorney Palatine employment lawyer Rolling Meadows insurance attorney Palatine corporate attorney Crystal Lake pet attorney Long Grove estate planning attorney minimum wage Colin H. Gilbert medical malpractice rumble strips Schaumburg traffic lawyer estate planning for college students Legal Info Long Grove real estate lawyer Rolling Meadows DUI lawyer Deer Park DUI lawyer Rolling Meadows car accident lawyers Buffalo Grove traffic attorney Palatine drug lawyer Family Medical Leave Act Arlington Heights pedestrian accidents Illinois Illinois Human Rights Act Crystal Lake tax lawyer Illinois insurance dispute lawyers Crystal Lake bike accident lawyer Illinois employment laws Inverness estate planning lawyer Arlington Heights injury attorney Illinois corporate lawyer Barrington employment law firm liability claims traffic violations defense Illinois Wage Payment and Collection Act healthcare claims IRELA real estate zoning deadly crashes murder insurance claim denials field sobriety test Illinois rollover accident lawyers agent automated cars Illinois traffic laws elder abuse elder law Illinois medical malpractice attorney Illinois driving without license Buffalo Grove insurance claim dispute lawyers Whistleblower Claims Illinois jet ski accident lawyer criminal Chicago attorney distracted driving accident victims Illinois speeding lawyer texting while driving Palatine civil litigation lawyer Liquor Control Act Inverness insurance attorney Crystal Lake car accident lawyer suspended license manufacturing insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys in terrorem provision Palatine punch death license revocation Self-Directed IRA Accounts wrongful death license reinstatement ken apicella Schaumburg probate attorney deed transfer Illinois attorney Federal Food Drug and Cosmetic Act underage DUI Rolling Meadows employment law attorney Crystal Lake personal injury lawyer probate process Crystal Lake employment law attorney personal injury claims Deer Park motorcycle accident lawyer drunk driving Arlington Heights personal injury attorney drugs Rolling Meadows employment law attorneys Illinois home inspection sole proprietorship Buffalo Grove criminal defense lawyer Crystal Lake injury attorney Palatine injury attorney Barrington criminal lawyer DMV employment law Crystal lake insurance dispute attorney dealing with problem employees Schaumburg drug defense lawyer personal injury lawyer Schaumburg real estate lawyer Deer Park real estate law firm civil litigation attorney construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation condo South Barrington real estate attorney car accident lawyer license insurance claims Palatine elder law attorney Buffalo Grove real estate attorney Crystal Lake insurance lawyer Illinois employment lawyer Rolling Meadows traffic attorney Illinois business lawyer Des Plaines drug crimes lawyer Rolling Meadows personal injury lawyers Illinois law Schaumburg construction accident lawyer Des Plaines claims law firm Deer Park traffic lawyer dram shop law Arlington Heights insurance attorney Illinois personal injury attorney condo association Barrington real estate lawyer swimming pools insurance claim dispute attorney real estate pet bites Crystal Lake law firm work unions BUI home inspection lawyer Schaumburg estate planning attorney right to work rollover accidents FMLA employee misclassification employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, eluding a police officer taxes Chicago estate planning lawyer motorcycle accident Barrington personal injury lawyer insurance denials hands free device personal injury accidents criminal record Mount Prospect real estate lawyer Rolling Meadows tax attorney whistleblower protections attorney fees Arlington Heights real estate lawyer Illinois employment law attorney traffic offenses Palatine law firm mortgage insurance denial appeals Illinois insurance claim dispute lawyer child safety Illinois job attorney Illinois trusts attorney Deer Park personal injury lawyer Illinois real estate Illinois personal injury lawyer Schaumburg insurance lawyers preventing accidents sexual harassment expungement Illinois tax attorney jet ski Buffalo Grove personal injury attorney federal regulations for LLCs Schaumburg Attorney insurance dispute attorney paid sick leave underinsured motorist Arlington Heights employment attorney Rolling Meadows Traffic Lawyer spinal cord injuries civil litigation DUI LLCs liens Inverness personal injury attorney crossover accidents real estate attorney insurance claim dispute rest breaks holiday statistics meal breaks Inverness probate lawyer bicycle accidents probate claims employment attorney murder defense slip and fall accidents Palatine personal injury lawyer Illinois business law atorneys Illinois workplace discrimination attorney fiduciary rule delay marijuana crimes attorney wage theft investment property Illinois traffic attorneys Schaumburg estate attorney Deer Park traffic accident attorney residential real estate Illinois workers compensation lawyer Fair Labor Standards Act Des Plaines real estate attorney Palatine traffic lawyer Policy Cancellation Barrington estate planning attorney Long Grove real estate attorney Illinois living will Forcible Entry Barrington Traffic Lawyer employment law, Illinois employment laws Illinois employment attorneys Illinois insurance attorney Barrington drug crime attorney IRS Des Plaines insurance attorney internet traffic tickets estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers small business commercial real estate Chicago corporate attorney license suspension denied insurance claim Rolling Meadows drug defense attorney modern family estate planning Arlington Heights trucking lawyer Illinois car accident attorney financial advisors Rolling Meadows corporate lawyer gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys fatal car accidents dynasty trusts TBI involuntary manslaughter trusts forming a corporation in Illinois defective products drug crimes lawyer estate plan Illinois criminal defense attorney vacation home fines startup company personal injury Des Plaines criminal attorney Chicago will attorney traffic accidents insurance claim denial FSLA reckless homicide Des Plaines personal injury lawyers Buffalo Grove medical malpractice lawyers Rolling Meadows probate lawyer traumatic brain injuries Transfer on Death Instrument Kenilworth estate planning attorneys Illinois boating accident lawyer Landlord Tenant Ordinance estate attorney Illinois estate planning estate tax Rolling Meadows insurance dispute lawyers changes to mortgage law Des Plaines real estate lawyer Long Grove estate planning attorneys life insurance Schaumburg elder law lawyer trauma after an accident Palatine employment attorney creditors power of attorney Deer Park criminal attorney insurance claim delay Illinois collections attorney car collision Barrington boating accident attorney Palatine traffic accidents Illinois wrongful termination lawyer Fourth of July estate planning POA digital media accounts, estate planning, Arlington Heights estate planning attorney, Rolling Meadows real estate attorney Palatine probate lawyer problem employees job lawyers liability Crystal Lake traffic lawyer filing a medical malpractice claim Arlington Heights accident attorney Buffalo Grove employment lawyer Schaumburg injury lawyer consent to a search Schaumburg civil litigation attorney Schaumburg medical malpractice lawyer Illinois LLC creation Des Plaines drug lawyer mass shooting criminal law Rolling Meadows Attorney auto accidents Barrington workers compensation attorney pet law uninsured motorist Buffalo Grove law firm Palatine employment law lawyer employee discrimination Rolling Meadows accident lawyer life insurance lawyer Rolling Meadows traffic law firm Illinois medical malpractice claim Buffalo Grove probate lawyer Des Plaines tax law firm traffic deaths car accidents Barrington medical malpractice lawyers Illinois registered agent blended families Rolling Meadows estate planning attorney Barrington criminal defense lawyer Buffalo Grove car accident lawyer Arlington Heights medical malpractice lawyer business litigation wills and trusts Arlington Heights Traffic Lawyer advance healthcare directive severance agreements healthcare comp time car crash Illinois Probate Act of 1975 Detainer Actions cell phone accidents School Visitation Rights Act Illinois real estate lawyer DUI penalities Des Plaines DUI attorney Crystal Lake employment attorney employment contract life insurance claims Arlington Heights lawyer commercial leases products liability car accident lawyers Buffalo Grove personal injury lawyer Illinois civil litigation lawyer Illinois Sales Representative Act insurance attorney first degree murder Illinois insurance lawyer Inverness civil lawyer breathalyzer test Illinois personal injury underfunded trust employment lawyer pain and suffering Barrington attorney golf accidents Illinois insurance claims lawyers rollover car crashes spinal cord injury power of attorney for healthcare Barrington civil litigation attorney unauthorized overtime Arlington Heights wills and trusts lawyers trustee appealing an insurance claim Schaumburg employment attorney Des Plaines motorcycle accident attorney Schaumburg car accident attorney Palatine civil attorney Super Mario Schaumburg criminal attorney texting and driving denied insurance claims brain injury Arlington Heights wills and trusts attorneys DUI attorney Barrington injury attorney estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, Arlington Heights car crash attorneys Schaumburg personal injury lawyers GM ignition switches Palatine trusts lawyer homestead rights foreclosure digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers Schaumburg criminal law attorney Barrington personal injury attorney dog bites Crystal Lake business law attorneys Des Plaines personal injury attorney Crystal Lake medical malpractice lawyer Crystal Lake medical malpractice law firm Arlington Heights wills and trusts attorney Chicago car accident lawyer living wills icy parking lots ACA motorcycle accident lawyer Illinois Smoke Detector Act Rolling Meadows medical malpractice lawyers loss of consortium Rolling Meadows business lawyer defective products lawyer Illinois wills and trusts overtime violations bike accident Illinois wills and trusts attorneys Deer Park employment law attorney Des Plaines Traffic Lawyer Mount Prospect wills and trusts lawyers probate fees Barrington employment attorney Mount Prospect elder law attorney Illinois estate planning attorney Inverness real estate lawyer truck collisions Chicago insurance law firm revenge porn Illinois medical malpractice lawyers Illinois employment law trust payments Arlington Heights TBI attorney estate planning attorney Illinois employment law firm speeding insurance dispute medical marijuana Arlington Heights criminal lawyer Illinois pedestrian accident attorney Illinois red light cameras IRA trust transfer Illinois insurance claim attorney Colin Gilbert insurance agent negligence life insurance policy medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers living trust surgical mistakes Illinois employment law attorneys personal injury attorney Deer Park workers compensation lawyer traffic crimes trench injuries Schaumburg Palatine corporate law attorneys Barrington employment law attorney estate planning lawyer Crystal Lake accident attorney drug crimes Rolling Meadows insurance lawyer trucking accident lawyers insurance negligence insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys independent contractor unpaid overtime owner responsibility overtime pay Des Plaines civil attorney criminal defense Chicago employment lawyer distracted driving accidents medication errors personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys boating accidents Des Plaines medical malpractice attorney denial of life insurance Crystal Lake car accident attorney Illinois estate planning law firm wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace medical malpractice compensation Illinois traffic ticket lawyer real estate contract institutional trustee Palatine real estate lawyer Long Grove estate planning college kids murder charges Inverness injury lawyer CAM fault based insurance drug possession Rolling Meadows boating crash lawyer marijuana Rolling Meadows employment attorney insurance adjusters Class A misdemeanor no contest clauses Rolling Meadows personal injury lawyer Deer Park medical malpractice attorney Arlington Heights traffic attorney Do Not Resuscitate Barrington business law firm Illinois employee rights attorney. Rolling Meadows criminal lawyer Illinois injury lawyer traffic laws driving ObamaCare employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys accidental death benefits workers compensation benefits probate lawyer Chicago lawyer real estate leasing insurance disputes real estate closing Chicago insurance claim attorneys Illinois small business DGAA pedestrian accidents Thanksgiving DUI defense vacation home boating under the influence privacy laws breach of contract Crystal Lake pedestrian accident lawyer Illinois traffic attorney Inverness DUI lawyer Illinois personal injury lawyers personal injury claim Arlington Heights employment law attorneys workers compensation Inverness real estate attorney Arlington Heights personal injury lawyer living trust benefits Chicago estate planning Riverwoods estate planning lawyer back injuries new real estate form unpaid assessment digital assets health insurance dispute landlord Palatine Attorney pedestrian injuries, pedestrian fatality medical malpractice claims guardianship attorney DNR Chicago biking tips BAC traumatic brain injury Des Plaines Illinois motorcycle accident lawyer living trust vs will Retaliatory Discharge Schaumburg personal injury lawyer Long Grove wills and trusts attorneys Jay Andrew Palatine workers compensation lawyer bicycle dooring accidents installment contracts natural gas explosion pregnant women pizza emoji hit and run accident Des Plaines pet law attorney Rolling Meadows Rolling Meadows criminal attorney Illinois workers compensation attorney Des Plaines injury law firm Illinois Workers’ Compensation Commission Chicago trucking accident attorney Inverness traffic law firm Home Sale Contingencies Affordable Care Act Illinois lawyer senior citizens estate planning trusts Inverness corporate attorney commercial leasing Palatine construction attorney pedestrian accident Illinois medical malpractice case Inverness accident lawyer probate claims process Illinois construction accident attorney Buffalo Grove injury lawyer workplace sexual harassment real estate attorneys car accident preventable medical errors clemency Illinois workplace lawyer Palatine insurance lawyer wrongful termination Barrington litigation attorney compensatory time caregiver Rolling Meadows insurance dispute lawyers, insurance dispute Crystal Lake estate planning lawyer unfunded trust Mt Prospect Attorney irrevocable trust digital information Crystal Lake employment lawyer IRA benefits real estate lawyer disability benefits Home Remodeling Repair Act head on collisions cell phone tower data landlord tenant law wills Illinois trucking safety Rolling Meadows marijuana attorney slip and fall Crystal Lake will lawyer Rolling Meadows litigation lawyer controlled substance Illinois elder law attorney sexual images