Sole Proprietership or LLC

Discussion in 'Starting a Lawn Care Business' started by boxoffire, Aug 17, 2004.

  1. boxoffire

    boxoffire LawnSite Member
    Posts: 169

    Hi. Just starting out. Called local offices today for applications for license and home use permit, as well as register of deeds for nameing my company. Before applying, just wanted quick advice on difference in general (if there is one) of starting out as sole proprietership or LLC? Pro's and cons?

    Sorry guess I could search and read up, but my damn dialup connection sucks when lines are wet or something and it's frustrating the you know what out of me. Maybe DSL one day when I actually start making some money... LOL...

    Thanks much.

    Adam
     
  2. boxoffire

    boxoffire LawnSite Member
    Posts: 169

    From what I have just read it appears if you are the only owner and are by yourself, sole proprietership is the way to go. Correct?
     
  3. furball3

    furball3 LawnSite Member
    Posts: 59

    You will automatically get a degree of liability protection if you from an LLC (Limited Liability Corporation) or S-Corp (or a C-Corp for that matter). LLCs and S-Corps are fairly easy to form and you can do it with just one person. Both, properly run, will take you as an individual out of the legal picture in the event someone sues your business. Someone may sue your business to bankruptcy, but they won't be able to get your house and other personal property.
     
  4. The C Man

    The C Man LawnSite Senior Member
    from Ohio
    Posts: 527

    ...just a clarification - LLC is Limited Liability COMPANY
     
  5. furball3

    furball3 LawnSite Member
    Posts: 59

    C Man's right. I need less coffee & computer time. Or is that more coffee & less computer time?
     
  6. Team Gopher

    Team Gopher LawnSite Platinum Member
    from -
    Posts: 4,041

    Hi boxoffire,

    Here is a post that may be helpful.
     
  7. HOOLIE

    HOOLIE LawnSite Gold Member
    Posts: 3,981

    furball is correct. As a sole prop., you and your business are legally the same entity. If you have concerns about liability, I'd check into the INC/LLC options.
     

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