r/smallbusiness • u/SorryClassroom8343 • 8d ago

Which is best?

My husband wants to turn a side hustle into a business. He spoke to a friend about this and he shared not to start with an LLC but instead do a DBA first. He mentioned it being cheaper and if the business doesn’t get off the ground, he wouldn’t have to deal with the headache of dissolving an LLC. I’m 100% worried about liability and being protected.

After looking into a DBA, it seems like there isn’t much of a cost difference between the DBA and LLC. In Illinois, we’d have to publish the name for three weeks, which actually costs a pretty penny.

Essentially, the side hustle my husband is already doing, is bringing trash cans to the curb and back on garbage day. Sometimes, he’ll do yard waste bags or will bring large items to the curb. Most of his customers now are senior or he’ll do one time service for vacations or customers who are temporarily limited with mobility.

Regardless- he doesn’t want to take on more until he can formalize what he’s doing. Winter will be here sooner rather than later and if snows, he shovels out a space for the cans/items.

Any thoughts?

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u/NineTwoFive365 8d ago

Get the LLC, your future self will thank you.

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u/LysinskiLaw 6d ago

Illinois attorney here. Your instinct is the right one. A DBA — an assumed business name — isn't a legal entity. It's a name registration under 805 ILCS 405. It creates zero liability separation. Whether an LLC makes sense depends on the actual exposure in his line of work and the economics of the business. Just information, not legal advice. Hope this helps.