ART LLC

The Essential Guide to Setting Up an LLC for an Art Business

Starting an art-related business is a great opportunity to combine your creativity with commerce, turning your passion into profits. Read our guide to protect your assets, minimize risk, and fuel growth.

Getting Your Art Business Structured Properly

An art business offers incredible opportunities, from showcasing your creativity to reaching a wider audience through galleries, art shows, your website, social media, and online marketplaces. Forming an LLC for your art business protects your personal assets, provides tax benefits, and establishes a legal structure that enhances credibility with clients and collectors. Whether you sell original artwork, prints, or creative services, having the right legal foundation ensures greater stability. Attorney-backed and approved, we’re here to guide you through the process.

Art LLC Overview

Selling your art should be as creative and stress-free as making it. Set up an LLC with us — it's quick, easy, and packed with benefits for your art business.

An LLC , or limited liability company, is defined by the state where you register. When you form one, you form a legal entity separate from you. This is the key benefit because it helps protect your personal assets from your business liability. If someone sues your LLC, your home, cars, and other personal assets aren’t at risk.

Starting a business selling artwork is an exciting venture, but beyond product selection and marketing strategies, entrepreneurs must consider the legal and financial aspects of their operations.

This guide explores key considerations for LLC formation, including tax obligations and common mistakes to avoid.

Do You Need an LLC to Sell Art?

You don't need an LLC to sell your art, but setting one up provides substantial benefits. An LLC shields your personal assets in case of legal disputes and boosts your business's credibility. In an era where authenticity and copyright issues are hot topics, this protection is crucial.

Setting up an art LLC with us is straightforward and offers more than just legal security. You'll enjoy tax advantages, access to outside funding, and a solid business foundation. It's better to safeguard your art business now than face potential legal issues later.

Benefits of Forming an LLC for Your Art Business

Reduce Your Personal Risk

If someone brings legal action against your art LLC, your personal assets are not at risk. This is important when you’re selling art to help protect against copyright infringement and misrepresentation claims.

Protect Your Privacy

Having your art LLC makes it easier to keep your personal information private. As an individual artist, without a separate legal entity, your name and address needs to go on all public documents.. An art LLC lets you sign up for a virtual address and set up accounts under the business name.

Tax Flexibility

An LLC’s default tax status is known as a “pass-through.” All of your business income is passed through to your personal income tax return. You can also choose to be taxed as a corporation. In that case, you get the tax benefits without the paperwork requirements.

Easy to Form and Maintain

Compared to other business types, an art LLC is one of the easiest to start and maintain. Just click Start My Business, and we’ll take it from there. And we help you stay compliant, letting you stay focused on your creativity.

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How to Start an Art Business LLC: What to Consider

As an artist, selling your work is a labor of love. You’re a creator. We’re here to help you start an art business LLC, so you can continue to do what you love. If you’re overwhelmed or lost, just contact us. We’re here to help.

Choose Your Business Structure

Choosing the right legal structure is the first step. The choices are sole proprietorship, DBA, LLC, or Corporation.

If you’re the only one in your business, a sole proprietorship is the easiest structure to form because you don’t need to do anything. You can also use a Doing Business As (DBA) to name your company. The problem is there’s no legal separation between your business and you. That leaves your personal assets at risk if your business is sued. You also have little-to-no privacy. Your personal name and address are on all documents.

LLCs, or limited liability companies, protect your personal assets from business liabilities. They offer flexible management and taxation choices. They also let you leverage virtual offices and better keep your personal information private. These are the reasons we recommend you at least register your art business as an LLC.

A corporation, on the other hand, is a structure that supports outside funding and growth at the highest levels. Corporations are complex structures to register and require compliance maintenance. If this is your plan, we can help!

Name Your Business

There are many different kinds of businesses in the art industry. You want to ensure your business name lets people know what yours is about.

As an artist, a lot of credibility comes from you as a person. You can use your individual name and still create an LLC. You can also name your business something different. Start by brainstorming some name ideas. Think of some that convey your niche. If you design jewelry, for instance, it may be wise to insert the word “jewelry” into your name. Keep in mind both short-term and long-term plans. Other niches include art therapy, art rentals, and teaching art.

Check to see if your name is available in your state's business registry. You can often do this online through the state's Secretary of State website or business registration portal. Conducting a trademark search using the United States Patent and Trademark Office's database is a good idea to make sure your chosen name isn't already trademarked.

Make sure your desired domain is available as well as social media handles. Even if you’re not ready to create a website or post content, owning them is important.

Write a Business Plan

Every type of business benefits from the clarity that writing a business plan provides. Writing a plan ensures no stone goes unturned. You can see and close gaps on paper before they happen in real life.

If you want to secure funding from a bank loan or outside investor, they’ll want to see a well-laid-out business plan.

There is no one right way to write a business plan for your art company. While there are various templates, most plans include these sections:

  • Executive summary
  • Company description
  • Market analysis
  • Organization and management
  • Products and services
  • Marketing and sales strategy
  • Funding needs and requests
  • Financial plan and projections

For businesses that need to procure supplies, be sure to include how you’ll address supply chain issues.

Use our step-by-step business plan template to help you define a strong roadmap for your art business.

Invest in Branding

Having a solid brand is the foundation of all your marketing efforts. It starts with determining crucial messages such as your brand promise, unique value proposition, and brand positioning statement. It continues with developing your brand personality.

As an art LLC, you want to portray an image of trust and creativity. Your style needs to shine through consistently wherever you market your products or services. Having a brand strategy in place helps make that happen.

In addition to messages, you want a brand identity. This includes fonts, colors, and a logo. If you’re a graphic designer or brand strategist know that it can be hard (sometimes impossible!) to do for yourself what you do for your clients. Hiring a professional who views your business objectively can help solidify your own brand.

Decide Your Revenue Streams

Are you an ecommerce art business? If so, you’re selling products online, and you’ll want to make sure you have the necessary platform. Will you own a brick-and-mortar shop? Maybe you want your art pieces displayed in galleries. Whatever your talent, defining revenue streams for an art business is crucial.

If you're a painter who wants to sell their work, you may want to think of ways to make money doing so. While you try to sell your works, for example, maybe you also hold workshops that teach others how to paint. It’s normal to have multiple revenue streams. An artist can also act as a consultant.

If you own a screen printing company, you can also host corporate events. Team-building activities are popular ways for companies to add to their culture.

Cultivate Relationships with Art Collectors and Enthusiasts

Building a loyal customer base is essential for the long-term success of any business. If your business includes displaying and selling works of art, building relationships will be key. Cultivate relationships with art collectors, enthusiasts, and industry professionals by hosting exclusive events, art talks, and networking opportunities. Encourage collectors to become patrons of your gallery and support emerging artists.

Design a Marketing and Sales Strategy

Marketing and sales are vital for nearly all businesses. For an art-based company, marketing and sales depends on the type of art product or service you’re offering. In general, however, having a strong online presence will help.

Develop a visually appealing website that showcases your collection, artist profiles, and provides an online purchasing platform. Leverage social media platforms to engage with your audience, promote new acquisitions, and foster a community.

Explore Public Relations Opportunities

Speaking engagements can be great results for generating leads and getting in front of potential clients. Lecturing at schools about the importance of visual art, music, and writing not only builds the artist community but it also lets you give back. Local television stations have morning shows. They love to show local talent and will instantly put you in front of your target market. Pitching various publications is a good way to be featured in articles.

Participate in Art Fairs and Exhibitions

If you’re a product-based business, art fairs and exhibitions can be crucial. Even if you have a brick-and-mortar shop, these places help you reach new shoppers.

Exploring Collaborative Opportunities

Collaborations can be a powerful way to expand your reach and tap into new audiences. They can be especially helpful when you’re first starting out. If you; 're marketing via social media, tapping into established audiences can be a great way to build your following.

Partner with other art-related businesses, such as interior designers, architects, or luxury brands, to create unique art installations or exhibitions. These collaborations can not only showcase your collection but also provide valuable cross-promotional opportunities.

If you’re a graphic designer, look to network with web developers and copywriters. These services are complementary and having trusted vendors makes everyone’s business more successful.

If you're an art therapist or someone who works to rehabilitate through the arts, collaborating with local philanthropies and hospitals could be a great way to get your name out there.

How to Form an LLC for Your Art Business

Our 5-minute process makes it quick and easy to form a business in your state.

  • Choose your business name.
  • Click Start My Business to register your LLC.
    We can handle every part of your LLC formation:
    • Business structure designation
    • Registered agent services
    • Operating agreement creation
    • File Beneficial Ownership Information (BOI)
    • Employer Identification Number (EIN)
    • Opt in to open your business account with Relay Bank
    • Opt in to secure insurance with Tivly

      We file with the state within 24 hours! Seriously. We get you up and running as quickly and easily as possible, so you can start turning your dreams into reality.
  • Get your required local permits or licenses (if applicable).
  • Over time, stay compliant while you’re in business. These requirements differ based on local and state governments. Don’t worry! We specialize in helping you stay compliant.
Ready to Form Your LLC?

LLC Formation is a Strategic Move

Art businesses must navigate copyright protections, licensing agreements, and the subjective nature of art valuation. Forming an LLC for your art business is a strategic move that offers legal protection, tax benefits, and credibility. Taking the time to structure, plan, and build your business the right way will help you to avoid costly mistakes, ensure your business remains legally sound, and set your business up for sustainable growth.

3 Reasons to Choose LLC Attorney for Your
Art LLC

Fast

Get your LLC formation filed within 24 hours. When you’re ready, we’re ready.

Affordable

We keep our pricing low and transparent. You don’t have to worry about surprise costs.

Reliable

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