Home Business?

I just started my childcare business out of my home and wanted some legal advice on how to manage expenses, where to look for liability insurance, how to prepare for when I file my taxes & anything else that I may not know about owning your own business. Someone suggested making my business corporate for tax purposes & to protect my personal property in case of a lawsuit. Should that be something I should consider? If so, what steps do I need to take in order to start the process? Any advice/suggestions would be very appreciated.