business form

Hello,

My brother started his own company - network consulting services. He operates as a sole proprietor with customers both in NJ and NY. He would like to hire two people next year a limit his liability. My questions are:
1) can he change from being sole proprietor to LLC (he would be the only manager)
2) If he registers as LLC does he get taxed as sole proprietor or is he taxed as corporation
3) If he needs to register what state would he register with?
Thank you for your help

See Starting a business: http://www.ss.ca.gov/business/resources.htm for general background information and http://www.sba.gov/library/pubs/mp-25.pdf

Hi--we normally do not give tax advice here---you may check with the IRS directly; or your accountant; or the H & R Block web site for 20 dollars: HR Block Tax Advisor link --

http://www.hrblock.com/taxes/product...p?productId=44

[kate_]

With the interests of starting up my own home business,
i was looking up the net for some unique home business ideas
and i came across bizymoms.com. they have many really out of
the box business ideas for women. i also bought a career kits to
start up and operate a virtual assistant business.
to this date their correspondence has been good.

I thought the people in this forum might find this interesting.
Check it out and let me know your thoughts.

Thanks