Limited Liability?

There are two types of liability to consider. The first is financial liability. If you want to get a loan from the bank, you can form a corporation first. Then the corporation is responsible for paying back the loan, not you. If the consulting business goes south, the corporation declares bankruptcy and the bank can't touch your personal assets. You are free to start another consulting business right away. Right? Wrong. Every bank will require that the owners of a small corporation personally cosign for the loan. They're no dummies. A corporation doesn't help you here

How about civil liability. In other words, what if someone sues you. Again, no luck. Any lawyer who has been to law school will sue the owners and directors of a company. Being incorporated won't help you here either.

NO!