I've made arrangements with a company to do some part time software development help (in addition to my day job, that has full benefits). They are a government contractor (local city governments) and I will be assisting on some of their contracts.
I need to make a decision which is to either:
A. Join their company as a part time employee, fill out W4 like usual and have them withhold taxes.
B. Join them as a subcontractor. I would need to register a LLC, get some liability insurance, setup a basic company website.
A is the simplest, but I can also do B. Are there any reason to do option B and setup a LLC? What benefits will I gain?
Note: Having registered LLC, website, liability insurance is a requirement imposed on the company from government due to their contracts.
EDIT: It is not a duplicate of the proposed question. That question is about a person considering switching to being a full time independent contractor, whereas I already have a full time job and I am only doing this on the side.