Essential Setup for a Company of One

When you're starting a _Company of One, it's important to get the foundational pieces in place to ensure your long-term success and stability.

Focus on Minimum Viable Profit (MVPr): Keep expenses low to become profitable as quickly as possible.
Create a Runway Buffer: Save 3-6 months of living and business expenses before going full-time. This provides a safety net for slow months.
Pay Yourself a Salary: Separate your business and personal finances. Pay yourself a consistent salary based on a 12-month rolling average of profits.
Save for the Future: Since you don't have an employer-sponsored retirement plan, set up automatic investments into low-cost index funds.

Separate Legal Entity: Form a corporation or LLC to protect your personal assets from business liabilities.
Contracts: Use clear contracts for service-based work and have terms of service for products.
Legal Counsel: Retain a lawyer who understands your business to help prevent legal issues before they arise.

Hire a Good Accountant: A good accountant who knows your industry should save you more than they cost. They can advise on tax strategy, business structure, and financial compliance.
Regular Check-ins: Consult with your accountant quarterly or whenever you're making a significant business decision.

Secure Insurance: If you're in a country without universal healthcare, securing health insurance is a top priority. Look into professional associations or business groups for group plans.

Design Your Business Around Your Life: Once you've achieved a stable income, you have choices. You can optimize for more income, more free time, or a combination of both. This is the ultimate benefit of being a company of one.