Turning Ideas into Entities: A Practical Read of Garrett Sutton’s “Start Your Own Corporation”

Title:

Start Your Own Corporation: Why the Rich Own Their Own Companies and Everyone Else Works for Them

Author(s):

Garrett Sutton

Year:

2012 (Revised and updated edition; original edition 2008)

Publisher:

RDA Press / Business Plus (Robert Kiyosaki “Rich Dad” Advisor series)

ISBN:

978-1-937832-05-2

Description:

“Start Your Own Corporation” by corporate attorney and Rich Dad Advisor Garrett Sutton is a practical, plain‑language guide to protecting your personal assets and building wealth through the proper use of legal entities. Aimed at entrepreneurs, consultants, investors, and small‑business owners, the book explains why operating as a sole proprietor leaves you dangerously exposed and how corporations and LLCs can create a legal “shield” between your business activities and your personal life.

Sutton walks through the fundamentals of corporations and LLCs—how they work, how they are taxed, and how they differ—then shows you step by step what’s involved in setting them up, maintaining them correctly, and avoiding common mistakes that can “pierce the corporate veil.” Along the way, he uses real‑world examples and case studies to illustrate what happens when people mix personal and business funds, fail to keep proper records, or rely on cookie‑cutter online documents without understanding the consequences.

What makes this book especially useful for aspiring founders is its focus on strategy rather than just paperwork. Sutton connects entity choice to broader goals like raising capital, holding real estate, bringing in partners, and planning for growth and succession.

He also touches on asset protection structures, basic tax considerations, and the importance of building a team that includes an accountant, lawyer, and other advisors. The tone is accessible even if you have no legal background, and chapters are structured so you can quickly reference topics like minutes, bylaws, operating agreements, and corporate formalities when you’re actually setting up your company.

If you’re serious about moving from “self‑employed” to “business owner,” this book is a strong starting point: it helps you see your business as a separate, durable entity, understand the risks of doing nothing, and make informed decisions before you sign contracts, hire staff, or take on investors.