Register free!

The Green Industry's Resource Center



Reply
 
Thread Tools   Display Modes
  #31  
Old 04-02-2014, 03:07 AM
Bryan27 Bryan27 is offline
LawnSite Member
 
Join Date: Aug 2013
Location: Memphis, TN
Posts: 145
Quote:
Originally Posted by snomaha View Post
Correct - you wouldn't save the true 7%. You would be paying tax for the length of the lease rather then all up front. Wholesale truck buying will be the biggest benefit.

May find out it is to big of a pain - Relatively low cost in setting up the LLC, getting the bond and insurance. 3 vehicle purchases over the next 6 months should be a good test.
Your state may be different, but here it would be too much of a pain dealing with the DMV and their requirements to acquire a dealer license. Bonding, dealer liability insurance, WC, zoning for the business location, paying a lawyer to set up the business entity, paying an accountant to keep it legit, and dealing with the DMV... Do you think that is the best use of your time and resources? It may be much easier in your state, but I'd caution you to jump in without at least running it by an accountant that knows what they are talking about. The effective rate you are actually paying on sales tax isn't going to be worth it, trust me. Find someone who has a dealer license and offer them a couple hundred bucks to be a buyer for you, you'll get the main benefit of the dealer license without having all of the headaches.
Reply With Quote
  #32  
Old 04-03-2014, 01:17 AM
snomaha's Avatar
snomaha snomaha is offline
LawnSite Senior Member
 
Join Date: Jan 2004
Location: midwest
Posts: 562
Quote:
Originally Posted by Bryan27 View Post
Your state may be different, but here it would be too much of a pain dealing with the DMV and their requirements to acquire a dealer license. Bonding, dealer liability insurance, WC, zoning for the business location, paying a lawyer to set up the business entity, paying an accountant to keep it legit, and dealing with the DMV... Do you think that is the best use of your time and resources? It may be much easier in your state, but I'd caution you to jump in without at least running it by an accountant that knows what they are talking about. The effective rate you are actually paying on sales tax isn't going to be worth it, trust me. Find someone who has a dealer license and offer them a couple hundred bucks to be a buyer for you, you'll get the main benefit of the dealer license without having all of the headaches.
The best use of time/resources for me is sitting on a beach -

All the red tape you mention has been vetted and figured in.
Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump





Powered by vBulletin® Version 3.8.6
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Copyright ©1998 - 2012, LawnSite.comô - Moose River Media
All times are GMT -4. The time now is 11:11 AM.

Page generated in 0.05481 seconds with 9 queries