It depends a bit on where you are. In states with cheap LLCs, it is ‘worth it’ almost immediately. LLCs protect your personal assets against business liabilit

It depends a bit on where you are. In states with cheap LLCs, it is ‘worth it’ almost immediately. LLCs protect your personal assets against business liabilities caused by other people. If you have substantial personal assets, and the LLC is a $50-$100 one-time fee, it’s a no brainer. Granted, the LLC shield isn’t foolproof, but when it works, it works — and by the time you know you’ll need it, it’s too late. In states that charge a lot or that want ongoing fees, it it’s a harder call. In California, for example, the LLC triggers an annual state tax. The legal liability protections are still worth something, but you’re taking on some more substantial obligations, too.