Discussion in 'Business Operations' started by RocknC, May 3, 2007.

  1. RocknC

    RocknC LawnSite Member
    Posts: 9

    Have any of you became a llc or inc. ? is this something you should do or whats your opinions? Thanks guys
  2. causalitist

    causalitist LawnSite Senior Member
    Posts: 610

    i've been thinking about it. im not totally fresh on the tax issues but i like the idea of the business being seperate from myself, and only being taxed on the "salary" i draw. the whole seperate entity concept is nice.

    JKOOPERS LawnSite Bronze Member
    Posts: 1,259

    it really depends if you have employees
  4. NELawnCare

    NELawnCare LawnSite Member
    Posts: 175

    I'm an LLC. I chose an LLC for better liability protection. My assets are covered under my business. If my business is sued, the most I can lose is my business assets. My home, personal property, vehicles cannot be taken. Now, that's not to say there aren't legal maneuvering tactics to get around the LLC status, but my attorney said it's damn difficult. In the state of Wisc, a single-owner LLC is considered a Sole Proprietor. So I get all the same tax advantages as a Sole Proprietor or Doing Business As (DBA).
  5. RocknC

    RocknC LawnSite Member
    Posts: 9

    Do you remember how much this cost you to do? And do you have to change all your lettering on your trucks to make it visible or can you run as an llc without advertising it? The reason I ask is i just had my truck re-layed with the vinil.
  6. Precisionlc9

    Precisionlc9 LawnSite Member
    Posts: 9

    I think it costs if I remember correctly about 200 bucks well thats with a cpa charged me to make my company an s-corp about 15 yrs ago. You should definetly do this it protects you from being sued personaly. Well worth the money!
  7. NELawnCare

    NELawnCare LawnSite Member
    Posts: 175

    I did my own Articles of Incorportation by visiting my states small business web site. They had a webpage fill-in form that generated the articles of incorporation. It cost me $130 total. You are suppose to use "the company name, LLC" on any legal documenation. It doesn't necessarily have to be displayed on advertisements. Some rules/laws may be different in your state. But regardless, you should be able to save some $ by doing the paperwork yourself. It's quite easy. You can ALWAY contact your Small Business Administration (SBA) or Small Business Development Center (SBDC) in your area. They are paid by taxes so their services are free. They can definitely answer your questions and get help get you set up.
  8. bullethead

    bullethead LawnSite Senior Member
    from Texas
    Posts: 273

    If it isn't a hobby for you, do it. It's relatively cheap insurance in the grand scheme of things.
  9. RocknC

    RocknC LawnSite Member
    Posts: 9

    Alright, Thanks for the information I will look into getting this, this next week.
  10. Chris J

    Chris J LawnSite Silver Member
    Posts: 2,830

    If your planning on starting an S-Corp, it's not going to protect you unless you play the game correctly. When you become a corporation, you have to do certain things (like hold annual meetings, keep minutes, etc...) This is the only way to retain your "corporate veil". If you fail to do these things, you are just as subject to lawsuit on a personal level as if you never incorporated at all.

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