Start up Questions

Discussion in 'Starting a Lawn Care Business' started by k-mower, Sep 29, 2007.

  1. k-mower

    k-mower LawnSite Member
    Messages: 1

    My friend and I will start out mowing about 8 lawns a week with smaller equipment. But my questions are about business in general. I have arranged insurance & accounting (tax ID, etc.)but,

    1.) Do I need to register as a DBA if I use my name for the business?
    (ex. Jim;s Lawn Service, given my name is Jim)

    2.) Do my friend and I need to become a partnership?

    3.) Are there other business things I am missing?

    Sure appreicate your time.
  2. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    this is a legal question and a moreal one at that...

    To be honest I dont understand how you guys are getting customers "of any substance" being illegal.......
    with each new customer you should present your certificute of libiality.
    your insurance co will provide this to you....
    it proves you have insurance and how much....

    everything may go fine....BUT what if you send a rock through your friend, JIM......then what.......

    I'll tell ya what will happen.... you will be facing manslauter charges,,,,

    YES you need to file a DBA.... then go get insurance...
    If you want a business partner, that's fine...but to seek out an attorney to make sure you stay friends..... even though it's impossable to do so...the attorney will iorn out everything when the partnership goes sour....

    sorry to be harsh, but once you get everything lined up and spend 20 to 30 thousand, then you go do a bid, and the person says JIM will do it for 45.00 cheeper..... that's when you will understand

    good luck....
  3. verant

    verant LawnSite Senior Member
    Messages: 484

    you don't need insurance really unless your doing tons of commercial properties or you don't get along w/ your friend. i have some commercial properties even without insurance, i just know the people who own the property so its not a big deal. Residential people here in MN don't even ask for insurance. And, accounting is easy, do it yourself, set up a sysytem that works for you, Questions...let me know
  4. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    dont walk away from this guy.....RUNNNNN

    any time you are working for money YOU NEED INSURANCE.......

    you and your friend can and will be 1099'ed.......

    you need insurance It's NOT for the people your working for like earlyer stated it's to protect YOU
  5. jajwrigh

    jajwrigh LawnSite Bronze Member
    Male, from Martinsville, IN
    Messages: 1,405

    Insurance needs to be the first thing you purchase. It should only set you back a few hundred dollars a year. This is nothing when compared to what you could spend on an accident without it.
  6. topsites

    topsites LawnSite Fanatic
    Messages: 21,653

    I'm sorry, but I take offense to that if a customer were to even politely hint at filling out a 1099, that to me is for Employers (read: a BOSS) to record the income earned by an employee or an independent contractor.

    Now they might've mentioned independent contractor, but they can dang well declare this expense as something other than a 'hire' or they can keep looking until they find themselves their lawn 'boy.'

    That's just how I feel about the 1099, one step up from a w-2, as a sole proprietor I don't pay taxes in this fashion, nor do I earn money from the customer like an hourly wage... You can look at it that way but the determination of who pays ME how much is entirely an inside company decision and the money paid to me is in exchange for services rendered yes, but it's also way more than that.

    Now in conclusion, why wouldn't you want to do things legitimately so you can get up in people's faces like this?
    Because it's not about us two fighting it out here, I could care less what comes of it and I'm sorry if that offended, but what it boils down to for me is I don't need a customer telling me what when and where, and the only way I can keep a customer from jerking my chain around is by having my stuff straight.

    I tell you the more shortcuts we take, the more we try and resist the right way of doing things, the harder they enslave us.
    You can try and fake it, but nothing works quite like the real thing, that's one reason is all that stuff gives me the confidence I need.
    Strange how it works out, but it kinda boils down to it takes money to make money.
  7. bohiaa

    bohiaa LawnSite Fanatic
    Messages: 5,220

    What the hell are you talking about ?

    being a contractor, you and you alone are responsable for your insurance.
    at the end of the year customers will ask for you SS# and by law you must give it to them because they will 1099 you...."if you dont give ss# they will simply report it as you refused" then uncle sam will call ya in for a little chat and he will get it for them"
    that's NOT giving them some kind of POWER. "I dont know where you got that from"

    sounds like you may be operating not up to law....

    I would NOT or never advise someone to break the law....
    that's why I said earlyer dont walk away from thei guy RUNNNNNN.

    If anyone here or anywhere advises you to do anything that's NOT legual

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