When you consider the benefits of a corporation—limited business liability and tremendous potential tax savings—you seemingly have almost the perfect business entity choice. So an obvious question is “Why wouldn’t everyone become a corporation?”

Perhaps predictably, there are costs and headaches associated with incorporating.

As a general rule, a corporation increases the complexity and workload of administering your business. This increase in administrative complexity adds to your costs and your work.

Your city and your county may require a permit to operate your business. To find out if a license is needed, you can search on the Internet using your county name and state.

For example, if you type “your county your city local government” into a search engine, you will be directed to the information needed for setting up your business. You can also call your city or county’s local government office and they will be able to assist you. You might find that a license is not required.

I’d like to hear what you’ve got to say about the legalities of setting up a business.