When Should Affiliate Marketer Create Their Own Company To Scale Their Business?
Most of the affiliate marketers start their online journey using their personal profile/name to earn commission, when will be the right time for them to set up their own company so they can scale their business further?
They are a lot of advantages and benefits in running a business using company structure. Wonder when is the optimal point for them to form their own company?
Would be glad to hear from anyone here that have followed this path?
Or it is better to remain using our personal name/account?
Recent Comments
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The answer to that question will vary country to country due to different tax treatments.
:-)
Richard
I'm in with Lebogang here, and would add that if that is your thinking then you would be better setting up and LLC, for tax benefit purposes, as opposed to anything else.
Without getting bogged down in the nitty gritty, an LLC is perfectly legal and something absolutely anyone can do. It is connected to Tax Avoidance and not tax evasion, one is lawful and one is not, yet so many people think they are one and the same, they are not.
I would say when you have successfully made money with affiliate marketing and have enough coming in from affiliate marketing to do whatever else it is you want to do.
This could be 6 months or 5 years depending on how quickly you see success so it's not about after x months or years.
I think the advantages of starting your own business outweigh those of affiliate marketing. Google or an affiliate program commission change could wipe out a great deal of your income overnight.
Starting your own business is a lot more work, but it gives you greater control of your future. And with the money that you are making from successfully running an affiliate business, you can outsource all of the low level tasks and focus mainly on high level decisions.
That is excellent information and advice.
It is also very much what I do - and the ultimate goal of any entrepreneur (with an entrepreneurs mindset) is to eventually outsource (externally and or internally to employees, contractors, associates, etc) all production work and focus only on "high level decisions" as you word it.
That means the entrepreneur is the visionary and the organizer of resources to carry out his or her vision.
That is where both maximum Freedom and Wealth are found.
Best regards,
L.D. Sewell
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Either a company or perhaps a Brand, Thomas! As for a company, it all depends upon whether or not you are making any real money yet! As others have said, when you are making some money, consult a tax professional!
Jeff