Corporations and llcs are separate legal entities that enjoy certain protections under the law and important benefits
The main reason most people form a legal business entity is to safeguard their personal assets. By incorporating, or forming a Limited Liability Company (LLC), you're free to conduct your business without worrying that you might lose a home, a car, or any of your personal savings because of a business liability. This is, in fact, one of the best moves you can make to protect your personal property when you own your own business.