I am getting my equipment, to start my part time lawn business a Honda HRC216 21'' Commercial Mower, Stihl FS91R String Trimmer, Stihl HS45 Hedge Trimmer, the BR600 are on backpack orders. I am should start as sole proprietor or form a LLC? looking to get 10 or 15 customers.
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Sole Proprietorship vs LLC?
- Thread starter CJIII1983
- Start date
Mark Stark
LawnSite Fanatic
- Location
- Rochester, NY
he'll be fine starting as a sole proprietorship. If you actually build it into something you can later convert to an LLC
Mark Stark
LawnSite Fanatic
- Location
- Rochester, NY
Probably run it by 2 lawyers then
Andrew H
LawnSite Gold Member
Just remember, if you try to get a loan, your LLC will have a different TIN so you may not have any credit, and the startup date will be more recent which are both major factors in loan approval.
TPendagast
LawnSite Fanatic
Technically
An LLC is consisted of more than one person
Technically
more than anything else it depends on how you file your taxes and your liability exposure.
I think there may be a difference on workers comp... maybe
legal entities are so vague post patriot act
I don’t bother worrying about anything below c Corp and a Corp anymore
in your case I don’t think it matters enough to sweat over
TPendagast
LawnSite Fanatic
Any new company will require a personal guarantee anyway (your loan , not the company loan)
Won’t matter if it’s llc or sole prop
TPendagast
LawnSite Fanatic
He’s way too small to bother with that