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Discussion Starter · #1 ·
If I have to be 18 to get a business license, insurance, and fertilizer license, then what can I actually do? If I get the business through a parents' name, does that mean I'm an employee since I'm operating it and doing all the work. Also, do more taxes get taken out of the revenue since it's in my parents' name? How can I use the insurance if it's in my parents' name? How can I use the fertilizer license also. If I can't have one because of age, then I couldn't take the test. Does this mean I just won't be fertilizing until I'm eighteen? Am I just going to be a scrub next year and pay regular income taxes?
 

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Well hey man, why not just run a cash-only business for a little while, until you turn 18? Back when I was 17 I was still going to high school so I used to cut a few yards around the neighborhood and put the money in my pocket, and thank you very much.

I mean... Do you HAVE all the stuff already?
If so, running it under your parent's name should be no big hassle: Just run it sorta like you own it because your parents ... well i forget how it works but basically they are taking responsibility and that is something you and your parents need to talk about, but far as taxes and all that, it shouldn't matter much - While you live with your parents, they claim you as a deduction and likely can file your income under their household OR you can file your own just as well, I don't think it matters who owns the business here.
After all, if YOU are doing all the work then your parents don't get any income from the business so it shouldn't affect THEIR taxes unless they wish to claim YOURS under theirs and then pay you but that is a hassle. So since you're doing all the work, just claim your losses and expenses as if you owned the business, the only difference being your parent's name is on the license. You'd be like the 'acting' owner or something.
Far as you being an employee, even if your name is on the license, you're still an employee in a sense: A boss works for the business, too, just like the rest of the workers, the boss works, everybody works, we all work for something or someone.
 

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Better talk to a lawyer. If you run it in your parents name and do some damage they may be liable and loose everything they have. Wonder if you threw a rock and hurt someone? Just a thought. There are kids mowing all over the place around here for cash. It used to be the norm but why involve your parents. I think it would be wise if you talk to someone about the legal issues involved. Any way you seem to be a mature young man and I admire you wanting to start a business.
 

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Discussion Starter · #4 ·
topsites said:
Well hey man, why not just run a cash-only business for a little while, until you turn 18? Back when I was 17 I was still going to high school so I used to cut a few yards around the neighborhood and put the money in my pocket, and thank you very much.

I mean... Do you HAVE all the stuff already?
If so, running it under your parent's name should be no big hassle: Just run it sorta like you own it because your parents ... well i forget how it works but basically they are taking responsibility and that is something you and your parents need to talk about, but far as taxes and all that, it shouldn't matter much - While you live with your parents, they claim you as a deduction and likely can file your income under their household OR you can file your own just as well, I don't think it matters who owns the business here.
After all, if YOU are doing all the work then your parents don't get any income from the business so it shouldn't affect THEIR taxes unless they wish to claim YOURS under theirs and then pay you but that is a hassle. So since you're doing all the work, just claim your losses and expenses as if you owned the business, the only difference being your parent's name is on the license. You'd be like the 'acting' owner or something.
Far as you being an employee, even if your name is on the license, you're still an employee in a sense: A boss works for the business, too, just like the rest of the workers, the boss works, everybody works, we all work for something or someone.
What about insurance? I can't make a claim on it when it's in my parents name, can I? I still can't get a fertilizer license, can I? Does anyone have some advice? I want to be a legit business next year, but a reliable and simple one at that. Thanks for any help in advance!
 

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Discussion Starter · #5 ·
tacoma200 said:
Better talk to a lawyer. If you run it in your parents name and do some damage they may be liable and loose everything they have. Wonder if you threw a rock and hurt someone? Just a thought. There are kids mowing all over the place around here for cash. It used to be the norm but why involve your parents. I think it would be wise if you talk to someone about the legal issues involved. Any way you seem to be a mature young man and I admire you wanting to start a business.
Thanks for the advice. I don't usually get paid in cash because I bill most of my accounts monthly and the ones I don't bill monthly still write checks.
 

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Discussion Starter · #6 ·
C'mon guys. Doesn't anyone know about this topice or know a 16-17 year old running a legit lawn care business?
 

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I STILL don't see all the fuss about a license. Must be other states or something. Here in the Lone Star, ya don't have to have anything to do business (not referring to spraying, fertilizing, etc.). No 'business License' required. Sure, if you wanna you can take out a DBA so that your name is registered, but you're not illegal if you don't.

I'm cool with how I am now, but I want a DBA. With the DBA I can then buy wholesale, and apply for and get licenses for spraying, etc. I talked to the branch that does that stuff and they said I could file it under my parents name. Not sure about the insurance claim part. Why couldn't your parents make the claim? They would be on the policy? As for liability, that is a problem. They could potentially be sued for damages you might accidentally cause.
My $0.02, good luck.
~Brian
 

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howie'slawncareI want to be a legit business next year said:
Sorry young man, but you can't be a legit business till you are 18. Maybe your state is different. I like the attorney idea. An attorney could even give you a few valuable tips for when you are legit in 2 years.
I commend you for being so ambitious. I wish you well because I was one of those lazy teens who only cared about partying in the summer. I guess I don't regret anything but can't help but wonder what my life would be like now if I would have had a little ambition when I was your age. You will go far. Be persistent, honest, and hard working and you should have a good life. Good luck and stay in touch. This site is a great tool for learning ..... after you sort out all the bull. :)
 

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Howie,don't worry about it intell your 18.Run your business.go get a work permit,that's almost like a licence to conduct business for underage,you can buy private insurance no matter what your age as far as I know.Because you are not required to pay any taxes,you don't have to worry about doing it legit intell your 18,what's involved in being legit is mainly claiming your income so good ole uncle Sam can tax you on it.
 

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We are a listed business in the state of Kansas and we pay taxes. We can't get insurance until I turn 18, but you can bet the day I turn 18 will we not only get insurance, but fert. license, etc. Good luck!

-Mark Wood
 

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Discussion Starter · #11 ·
sheshovel said:
Howie,don't worry about it intell your 18.Run your business.go get a work permit,that's almost like a licence to conduct business for underage,you can buy private insurance no matter what your age as far as I know.Because you are not required to pay any taxes,you don't have to worry about doing it legit intell your 18,what's involved in being legit is mainly claiming your income so good ole uncle Sam can tax you on it.
I thought a work permit was for if you had a job. I work for a local newspaper on Saturday mornings, and it's not a paper route. We just put the advertisements in the papers. We like to call ourselves "Insert Technicians" when really most of us are just starving for extra cash. There's alot of 30+ women working there, but they're mostly decent people. Anyways, I had to get a work permit to work there and the permit was made especially for that job. How does a work permit allow you to mow yards when you're not working for a real business? Also, why wouldn't I have to pay taxes? If you're making $600+ a year, you a supposed to. If I turn in alot of checks, I'll probably owe the IRS some cash money. I can't ask everyone to pay cash and don't want to be in a situation where I have to. Thanks for all the help so far guys.
 

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Work permit won't help you, you need a vendor lisc. and a fed tax # for income tax. you will need the vendors lisc. to buy whls. and to also collect sales tax. Your parents can carry you on a biz policy but its there biz and you would be the same as an employee if a claim was made so they can expect to pay more for ins. Income taxes are for an accountant as there are to many ways of filing and you need proffesional advise. I would recommend that you speak with an attorney NOW and he can get the ball rolling for when you become 18.
 

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Discussion Starter · #13 ·
olderthandirt said:
Work permit won't help you, you need a vendor lisc. and a fed tax # for income tax. you will need the vendors lisc. to buy whls. and to also collect sales tax. Your parents can carry you on a biz policy but its there biz and you would be the same as an employee if a claim was made so they can expect to pay more for ins. Income taxes are for an accountant as there are to many ways of filing and you need proffesional advise. I would recommend that you speak with an attorney NOW and he can get the ball rolling for when you become 18.
Why would I need a vendor's license to buy wheels, if that's what whls. stands for. Also, can I collect taxes if I'm not a business. How much do attorneys usually cost per hour. Thanks.
 

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Discussion Starter · #15 ·
The C Man said:
Whls = Wholesale
If you buy wholesale, you buy alot at once right? Also, is there any point in a vendor's license when you don't have a business license?
 

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howie'slawncare said:
If you buy wholesale, you buy alot at once right? Also, is there any point in a vendor's license when you don't have a business license?
A vendors lisc. can be used biz lisc. if your doing biz as DBA. No, buying whls. you can buy a small amount and still get the whls. cost, that alows you to resell to your customers at retail and make a larger profits off of materials.
 

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Discussion Starter · #17 ·
olderthandirt said:
A vendors lisc. can be used biz lisc. if your doing biz as DBA. No, buying whls. you can buy a small amount and still get the whls. cost, that alows you to resell to your customers at retail and make a larger profits off of materials.
What's a DBA. Also, if I can't get a business license, do I even need a vendor's license? Since I can't get insurance, would'nt I be seriously screwed if somebody got injured by flying debris?
 

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Cimarron Landscape said:
I STILL don't see all the fuss about a license. Must be other states or something. Here in the Lone Star, ya don't have to have anything to do business (not referring to spraying, fertilizing, etc.). No 'business License' required. Sure, if you wanna you can take out a DBA so that your name is registered, but you're not illegal if you don't.

I'm cool with how I am now, but I want a DBA. With the DBA I can then buy wholesale, and apply for and get licenses for spraying, etc. I talked to the branch that does that stuff and they said I could file it under my parents name. Not sure about the insurance claim part. Why couldn't your parents make the claim? They would be on the policy? As for liability, that is a problem. They could potentially be sued for damages you might accidentally cause.
My $0.02, good luck.
~Brian
Don't know where that came from.. You HAVE to have a DBA to legally operate a business in any state. You cannot file business taxes or charge sales tax without having a DBA and a Federal Tax ID Number.

You are basically telling us you are not a legal business and are not paying taxes.?? Not good.. :realmad:
 

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qualitylandscaping said:
Don't know where that came from.. You HAVE to have a DBA to legally operate a business in any state. You cannot file business taxes or charge sales tax without having a DBA and a Federal Tax ID Number.

You are basically telling us you are not a legal business and are not paying taxes.?? Not good.. :realmad:
No you are wrong. Jim jones lawn care Does not need a dba and can use ss# instead of fed tax id.
 
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