-2

Let's assume I have created quite a successful online service for entertainment, which does not sell anything and the only potential income would come from advertisement. Let's assume it is big enough that some might be interested in buying it.
But the thing is, it is just my privately held website, not a company or anything. Is it a problem? Is it possible that an individual could sell his project without being a legal entity?
Why the bigger players simply do not copy the idea without asking me, in the end, general ideas are not protected as such (I mean, you could create another variation of linkedin, fb, etc., unless you copy some specific features).

  • Please add your jurisdiction - it may be helpful in answering your question! – Daniel Jul 24 '18 at 8:55
0

Larger companies buy smaller companies for a variety of reasons; quickly gaining their technology is only one of those reasons.

In your case, it seems the user base is what a larger player could wish to acquire. If outright buying your website is cheaper/faster than copying it and advertising to entice your users, then that's what they'll attempt to do.

Whether you should own the website personally or form a company is a legal question depending on your location and jurisdiction. In general, I would imagine only a company would be able to deduct any expenses associated with running the website.

In addition, selling a company as opposed to merely selling off a privately owned website might have vastly different tax implications. You would need to get localized legal advice.

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.