In March I’ll officially have had my business for a year. At that time I’ll be decided whether I want to disolve the Sole Proprietorship company and just get an SC Arts/Crafts license instead. By switching to the SC A/C license I only have to to sales/use tax returns when I actually make sales, versus every month regardless of activity with the Sole Proprietorship. However, there are some perks to the SP that make it worth holding on to, despite the hassle of filing a tax return every month.
I know I’ll never be a big company – I’ll never need to worry about equipment leasing, or benefits, or bulk mailing. I’m strictly a one-woman operation making handmade blankets. But I do wonder which decision I’ll make in March. Time will tell – if I keep selling one or two blankets a month, I’ll probably keep the SP license. If I don’t sell anything between now and March – I’ll definitely be switching to the SC A/C license.