For entertainment & media businesses

Production companies often use multiple LLCs: one operating company (production), separate single-purpose LLCs (one per project/film/show) for liability isolation and easier sale of project rights. Entertainment talent (actors, musicians, writers) typically use one LLC or PLLC for all activities. File.Business handles multi-entity structures for entertainment clients.

Federal income tax treats royalties as ordinary income (with some exceptions for sales of capital assets like copyright). Self-employment tax applies to royalties from active trade or business; passive royalties (from inherited copyrights, for example) may avoid SE tax. State treatment varies; California taxes residual income from work performed there even if you've since moved.

Required if hiring SAG-AFTRA, IATSE, WGA, DGA, AFM, or Equity members. Becoming a union signatory means agreeing to union contracts, pay scales, residuals, and benefits contributions. Indie and non-union productions can avoid this but limit talent access. File.Business connects entertainment clients with entertainment-specific counsel for union signatory setup.

Copyrights for scripts, recordings, footage register with US Copyright Office ($65 per work). Trademarks for company name, project titles, brands register with USPTO ($350-450 per class). Music compositions need separate copyright AND ASCAP/BMI/SESAC registration for performance royalties. File.Business handles trademark + works with copyright/IP counsel.

General liability + production-specific: errors & omissions (E&O) for content claims, production package (equipment, props, sets), workers comp for crew, completion bond (for larger productions to guarantee finish). Costs scale with production budget - typically 2-3% of total budget. File.Business coordinates with entertainment insurance brokers.