Q: If I operate my small business as a sole proprietorship, will my personal assets be protected if my business causes harm to one of my customers?

by | Nov 10, 2021 | Business, Q&A |

A: Unfortunately, ALL of your personal assets will be on the hook for your mistakes as a business owner while operating as a sole proprietorship. Your only line of defense will be your insurance coverage, assuming you have it.  On the other hand, if you had incorporated your business (as an LLC or a Corporation, for example), you would be able to enjoy unlimited personal asset protection in the event any business liabilities arise