If I currently can’t afford to start my business as a LLC, how can I legally take the liability off of myself?

UPDATED: Sep 29, 2022

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If I currently can’t afford to start my business as a LLC, how can I legally take the liability off of myself?

I was thinking some sort of consent form but I am not sure what I need to do to make such a consent form.

Asked on August 25, 2015 under Business Law, Arizona


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

If you do not establish and run your business as an LLC or a corporation, you really can't "take liability off" yourself. Yes, you can have customers sign a liability waiver, agreeing not to sue but such waivers have limitations they do not protect against any but ordinary risks of the endeavor and this would not help you against anyone bystanders contractors or vendors lenders or financiers etc. who do not or will not sign such a form.  It is strongly advised to run a business as an LLC or corpration if you are not in a position to do so now though the cost to do so is often less than people expect, you may wish to wait until you can to launch your business.

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