For the past 4 years, I have operated as an independent contractor (sole-proprietor) for all of my clients (i.e., 1099-status). I mainly do development and facilitation. One of my clients is now requiring that I incorporate. I'm hesitant because it's just me and I only do part-time training "gigs". Incorporation seems too complex for my situation. Any experience out there with this? What about LLC as an alternative to incorporating (assuming my client will accept this). Any advice would be appreciated...thanks!

You should take a look at how you are actually going to pay yourself. Do you want to do quarterly witholding or put yourself on a payroll? Also look at how you are going to pay others if you are going to subcontract or use editors and proofreaders. It's really an accounting decision

Aside from choosing between incorporating or LLC, your client has no right nor precedent, legal or otherwise, to require you to incorporate. I would seek legal advice on this entire issue.

In most states it's very simple the incorporate. One of the advantages of an LLC is that it's easy to change into another form of corporation and it's most like being a sole proprietorship.

I'm seeing an increase in corporations asking you to be a corporation as well as provide certain types and amounts of insurance.

I'm not sure but I think it's because of all the scrutiny that 1099s are getting because there is not withholding.

In Minnesota you can incorporate with a simple 1 page form and I think it's $75. Takes about 15 minutes.

Any consultant would be wise to have some type of legalities protecting him and a company would be wise to have same, but that can be as simple as a carefully worded contract. The difference for a consultant is that being an LLC or being incorporated means your personal, private assets are protected in case the company sues you for something.

Don't cave to the random "requirements" of a company. Do what you feel is best for YOUR privately held firm.