New to O/O

That does suck...

 

Sorry to hear that ... I’m looking for a driver in Manitoba, I would have probably hired him seeing he was known to you.

 

Our economy is tied directly to the US, lots of trucking companies struggling there. Trucking is slowing down everywhere because manufacturing isnt getting better, here or in the US.

 

So are you saying to incorporate if going O/O no exceptions?

 

Yes, Sole Proprietor is just that, everything is on YOU!

I incorporated as a consultant in 2004 (Ltd) and transferred that to trucking in 2016. It doesn’t absolve you of everything, when things go bad. But Atleast you have a chance to recover, and start again should the worst happen. Sole Proprietor, you’re on the hook for life.

 

If your incorporated they go after owner of company who just happens to be you.. liability isn’t the best reason to incorporate unless your a multi million dollar company .

 

You MUST incorporate, even if you own just one truck. The risks are too high if you don't, and something, anything, happens.

If your job is just painting a house, sole proprietorship may work well for you. If you operate heavy vehicles on a highway, you have to keep business separate from personal.

Mistakes can and do happen, even with the best owners, and the best operators.

I know we all think we can operate flawlessly, and some can... until there's a problem completely out of your control.

You can easily become homeless with a false claim... Maybe you bumped into someone, or maybe they bumped into you! On purpose!

Trust me... I have seen it. People see a big truck, they often see $$$.

Seperate your personal from the business, as it's only a matter of time before some leech comes after you for a few bucks...

 

If you own the truck and drive it your 're still on the hook and liable in the case of a crash.

 

Of course,

But the CRA can’t personally destroy you for life Ltd. You also can’t have your personal credit destroyed, over business credit issues.

Its not a “get out of jail free” card, but it’s a much better way to do business. If nothing else, it simply increases your options.

 

You're thinking of incorporating to gain from limited liability. Trouble is when you buy your first few trucks you'll have to sign directors guarantees for the goods so you cant get off the hook that easily sadly ! And as an earlier poster mentioned should you be involved in a big claim, no corporate status gets you off even if your name is Madoff or Enron CEO.

Incorporating may or may not be of benefit to the owner op for tax reasons, and that's not a one size fits all answer at all.