. . . I have no idea! Here’s my understanding:
For those of us on the self-publishing track, I understand it is only necessary to become incorporated (start your own company) if you plan to distribute and market your own books. For many of us, we will end up doing a combination of these things by utilizing print-on-demand (POD) services, and/or hiring a distributor even though we may want our own label on the product. There is not a ton of information out there about the necessity of incorporating yourself, but information does exist. What I can do is explain my reasoning for choosing to incorporate.
This is a business venture for me. I know how it sounds. Relax writers community. This is not about questioning my passion for the art of writing. Trust me, I wouldn’t be on this grand adventure if writing were not a true art form for me. However, though writing is a passion, it is also a business. While I am discovering (or re-discovering) my craft, I am also seeking a means to put food on the table through the expression of my art (my writing). Therefore, I am planning for the future, branding myself, and opening the door for other ventures as well.
Reality is, it may very well take several weeks, months, or even years before I see a reasonable profit from the sell of any of my books once published. Therefore, I need to have some other means of generating an income. I have decided to also take on editing and proofreading; I may need to dabble in self-illustrating (that’s another blog post); and even greeting cards. The list can go on-and-on. In either scenario, I thought it wise to be incorporated in order to make a way for me to be able to explore all of these possibilities. Long term, I will need a way to market my books and if I am trusting the marketing process to myself, then it would be great to have my brand name on my books as well as a central location for consumers to be able to purchase the books.
The bottom line is, when it comes to choosing to incorporate, it is determined by what publishing route you choose to take and what, if any, plans for expansion you may have in the long run.
Here are some helpful links to sites that provide some information on incorporating yourself as a self-publisher: