But what about the smaller enterprise - for example, the home-based business; does it also need to incorporate?

Positively. The fallacy is that the small business – usually a home-based service business – is too small to worry much about liability issues. What their owners don’t realize is that even the smallest transaction can trigger an enormous liability, which can cause the unprotected proprietor to lose all his or her personal assets. That’s why we insist that every one of our business clients operate their enterprise through a protective entity. There are no exceptions – no matter how safe or small the business seems to be.