006 Protect Your Creative Business: 5 legal and tax tips you can't ignore with Braden Drake from Not Avg Law

Explicit content warning

10/29/24 • 40 min

Get ready for a no-BS breakdown of the most important legal and tax tips for creative entrepreneurs with Braden Drake, a California licensed attorney and tax professional. In this episode, Braden and I (Emily Kim) discuss these top 5 legal + tax tips to get your creative business legally legit:

Keeping Taxes Simple – With basic bookkeeping and quarterly tax payments, Braden outlines how to avoid common tax pitfalls and streamline your finances.
Legal Layers of Protection – Braden introduces his “legal hierarchy of needs,” which is tbh, the best explanation of all things legal for a creative business owner like me who actively cringes anytime I hear anything law related.
Sole Proprietorship vs. LLC – Learn why forming an LLC can be a game-changer for protecting your personal assets from business liability.
What is an S-Corp actually, and when you should consider it – finally, understand what the heck an S-Corp actually is.
Does your tax + legal expert need to be local? – Understand when you might need a local expert versus when you can work with someone remotely.

FIND BRADEN ONLINE:

The Contract Club (affiliate link): https://www.bradendrake.com/a/2147575083/WeWgweFf

All the templates you need. All in one place. Just pay the low + affordable one-time fee, and you’re in for life.

Braden's law firm, Not Average Law: https://notavglaw.com/

Get Braden's book, Unf*ck Your Biz: https://notavglaw.com/book

Listen to the Unf*ck Your Biz Podcast:https://notavglaw.com/podcast

00:35 Who is Braden and why should you listen to him?
02:40 Tip #1: Keeping Taxes Simpler
10:44 Tip #2: Legal Layers of Protection
11:22 Tip #3: Choosing Between Sole Proprietorship and LLC
16:20 Tip #4: What is an S-Corp actually, and when you should consider it
26:56 Tip #5: Does your tax + legal expert need to be local?
36:46 How to Work with Braden and Final Takeaways

Thanks for listening!
Connect on Instagram: https://www.instagram.com/emilykim.co
Join the free, private Facebook Group: https://www.facebook.com/groups/theprofitablecreatives
Website: https://profitablecreatives.com/
Photo & video services: https://emilykimphotography.com/

Keeping Taxes Simple – With basic bookkeeping and quarterly tax payments, Braden outlines how to avoid common tax pitfalls and streamline your finances.
Legal Layers of Protection – Braden introduces his “legal hierarchy of needs,” which is tbh, the best explanation of all things legal for a creative business owner like me who actively cringes anytime I hear anything law related.
Sole Proprietorship vs. LLC – Learn why forming an LLC can be a game-changer for protecting your personal assets from business liability.
What is an S-Corp actually, and when you should consider it – finally, understand what the heck an S-Corp actually is.
Does your tax + legal expert need to be local? – Understand when you might need a local expert versus when you can work with someone remotely.

FIND BRADEN ONLINE:

The Contract Club (affiliate link): https://www.bradendrake.com/a/2147575083/WeWgweFf

All the templates you need. All in one place. Just pay the low + affordable one-time fee, and you’re in for life.

Braden's law firm, Not Average Law: https://notavglaw.com/

Get Braden's book, Unf*ck Your Biz: https://notavglaw.com/book

Listen to the Unf*ck Your Biz Podcast:https://notavglaw.com/podcast

Previous Episode

005 How long does it take to build a "successful" creative business?

In this episode, I'm diving into this frequently asked question: how long does it actually take to build a successful creative business? I'm breaking down the misconceptions around overnight success and sharing my personal journey to profitability.

Here's what we're covering:

What "success" really means in business - and why it's different for everyone
The average timeline for small businesses to become profitable
My own path to building a quarter-million dollar photography business
Why comparing your journey to others can be harmful
The importance of balancing financial success with personal wellbeing

Timestamps

00:00 Defining success in your creative business
04:08 The reality of building a profitable business
09:55 My personal journey
11:44 The dangers of comparison and "infocrastination"
15:14 Balancing profit with personal wellbeing

Whether you're just starting out or feeling stuck in your current business, this episode will give you a realistic perspective on what it takes to build a thriving creative business. I share my own ups and downs, pivots, and lessons learned to help you set realistic expectations and stay motivated on your entrepreneurial journey.

Next Episode

007 The #1 reason most creatives undercharge

Let's chat about the #1 reason creative business owners undercharge and learn a simple, proven pricing formula to boost your profitability. Perfect for photographers, copywriters, designers, and freelancers looking to optimize their pricing strategy.
Chapters:
00:00:20 - Root cause of undercharging in creative industries
00:01:00 - Pricing formula for service-based businesses
02:40 - Calculating your target revenue and client capacity
05:40 - Factoring in expenses and taxes
08:20 - Strategies for gradually raising your prices
10:40 - Accounting for "odd jobs" in your pricing structure
We're covering:

Understanding the importance of confidence in pricing
Reverse-engineering your rates based on income goals
Considering taxes, operating costs, and owner's pay
Incrementally increasing prices to build confidence
Adapting pricing for various service packages and custom projects

Ready to finally be confident in pricing your creative, 1-1 services? Get my custom pricing calculator: https://www.emilykim.co/photo-pricing-calculator
Even though it says Photography Pricing Calculator, this spreadsheet + guide works for anyone who offers a 1-1 service. Enjoy!