If given the choice, you want to be the one to present your own contract when entering into an agreement with someone. Why? Because when you draft your own contract you can choose to include, or not include, anything you want. But knowing how to spot red flags in contracts you didn't draft yourself is an important skill for an entrepreneur to have. There are quite a few to discuss but today we're going to talk about indemnification clauses.
Figuring out what legal form your business should take is one of the things I'm most frequently asked about. But I have to admit, it's probably the least sexy part of starting your biz. I mean...taxes are involved. Need I say more? I know your eyes just glazed over. But it also happens to be one of the most important decisions you have to make. It's going to impact how you're taxed, how much liability you will have for your business' debts and how the IRS will treat you. We're going to start this journey with the cheapest and easiest legal form: Sole Proprietorships.