I don't know how that works in the US, but here in the Sweden becoming a sole proprietor can be somewhat of a hassle. You have to sign forms, talk to the "IRS",

I don't know how that works in the US, but here in the Sweden becoming a sole proprietor can be somewhat of a hassle. You have to sign forms, talk to the "IRS", pay a certain amount of preliminary taxes each month, do book-keeping, keep track of inbound/outbound VAT on invoices, etc. It doesn't deter someone who really wants to be an entrepreneur, but it does stop people who would just like to do some casual work on the side for a few bucks here and there. I have quite a few business ideas involving paying the crowd to do stuff, but the legal issue is a barrier.