business question - what's legally required to freelance?

[John B.]

I know there have been similar posts regarding the business aspects of arch viz and I have also read through David Wright's articles, but I'm looking for info and advice about the most basic business questions. I want to start freelancing, so what do I need to do to become legal? Do I incorporate, do I need a business license? How do I get it, etc..? Frankly, I'm pretty clueless about all that, but I want to be legit. Any help would be greatly appreciated.

 

By the way if anyone is interested I've got some of my work up on my website at http://www.johnbouma.com/ar/. Any advice about the website would be greatly appreciated as well. As you will see I really have no experience with business or marketing.

 

Thanks in advance.

[Ernest Burden III]

Generally, in the US, it's about as simple as saying 'OK, here I am, ready to accept work'. Licencing is state-by-state usually, so you would need to verify this where you are, but as far as I know there isn't anything you need, paper-wise, to be an artist.

 

You may need to collect sales tax on your work, check with your state.

 

You may have a state or local tax on 'un-incorporated business' (New York City had just such a blood-sucking tax, I guess it still does, I just left and no longer have that extra 4% or so to pay for nothing other than trying to earn a living on which I already paid the same taxes as everyone else).

 

If you are not incorporated or a LLC then remember that you will have more social security taxes to pay (double, since you will be both the employer and employee) and you would possibly be expected to pay them quarterly. Don't overlook this or it will bite you in the ass hard next April.

 

You could even have neighborhood restrictions on business activities, though those are rare.

 

Ultimately, you need to do research, especially on the local and state level.