topic Re: Consignment & LLC in Business & farm

Consignment & LLC

Tanya - MsConnect — Mon, 09 Mar 2026 08:46:09 GMT

Does a consignor need an LLC to sell in a store?

Re: Consignment & LLC

ee-ea — Tue, 08 Mar 2022 21:19:28 GMT

A LLC is not needed

Re: Consignment & LLC

Tanya - MsConnect — Thu, 10 Mar 2022 13:56:56 GMT

Does this differ in each state? As in Florida?

Re: Consignment & LLC

Vanessa A — Thu, 10 Mar 2022 14:47:33 GMT

No, it doesn't. Basically, anyone can operate as an independent contractor or sole proprietorship when selling consignment items. There is not a requirement to become an LLC, that is more of a personal decision as the LLC offers certain protections from liability that the Sole Proprietorship does not have.

Whether or not you form an LLC or just sell as an individual, you will report all of your income on a Schedule C, so the formation unless you elect to be treated as a S-Corp, will not make a difference when it comes to filing your taxes.

Re: Consignment & LLC

Tanya - MsConnect — Thu, 10 Mar 2022 16:13:58 GMT

Thank you so much Vanessa for that detailed explanation. You have helped me understand it a bit more and will be able to explain it to others.