starting first steps

I am not sure what you are asking. A EIN is assigned by the IRS. I have had several for different corporations over the years. I have never been able to select my own number. The EIN is assigned to a specific company, corporation, LLC, proprietorship or partnership.

 

Are you starting your own company to be an. O/O(owner operator) or lease on to a Co?

 

I have not had a sole proprietorship in many years, but it is my understanding that the IRS prefers you use a EIN rather than your social security number. At one time most people used their social security number for their business.

 

I may not have owned my own truck, but I have owned 2 start up businesses. I will say this though, if you are going into ANY business with NO knowledge of what you legally or financially should or should not have, you should DEFINITELY consult an attorney and not a forum membership body. Because it seems that after you get your EIN, you will still be lost. Business plan, financial security, filings (quarterly and annual requirements no matter if its a SP. LLC or Corp), and your legal accountability will all change according to how you want to file and what your filing requirements are in your local area for that type of business.

As it seems that since you don't have a registered business, the ONLY thing you would qualify for is a sole proprietorship EIN, make sure you do your homework before hand, but that is just my own $.02.

 

Two things that everyone who is in business needs are a good CPA and attorney. I would look for someone who has trucking experience. You could probably find a bookkeeping service that has trucking experience, but I prefer having a CPA. There is a local bookkeeping service that has trucking experience. They have public accountants instead of CPA's. I have not used them, but I know a couple of people who have used them and they like the service. A good CPA can best advise you on the tax implications of most business structures and the corporate attorney can advise you on the legal implications. I have posted a number of times that I prefer a corporate structure. I have a friend whom is most comfortable with a sold proprietorship structure. I think he would be better off with a corporation, but that is his decision. CPA's and attorney's are not cheap, but both can save you a lot of headaches if properly used.

 

The IRS site needs to be your best friend. Read the pamphlets then find an accounting firm with trucking experience, like ATBS, and consult with them. It will cost you money but you need to have a financial source before you start. It is money well spent. The company from which you lease most likely won't charge you a truck payment for a few weeks; use this time to put your new business on solid ground and to build up your cash reserves as you learn how to operate, but you will need money before you start.

Remember that the revenue stream is not yours--it belongs to your business, which will pay you. Most failures occur because new lessors spend the money coming in like it's theirs; when unexpected expenses hit, there's no money to pay them. Uh oh...

Finally, remember you will be signing a legally binding contract written by the company's lawyers to benefit them. Make sure you understand, really understand, the clauses in it. That's where your attorney comes in - you do have one, right? - and if the company won't give you a chance to send it to your lawyer for review, I wouldn't sign it.

You've heard the saying "I never worked harder than when I went into business for myself." Remember those words and you'll go a long way to making your new business a success. Good luck, small business owner!

 

It’s up to you how you structure your company.

Of the options on the EIN site you would select Sole proprietor / Individual, Partnership, Limited liability Company, S-Corporation, or Corporation all depending on how you setup
your company.

Check at http://www.sba.gov/category/navigation-structure/starting-managing-business/starting-business/choose-your-business-stru for descriptions of each of those options.

 

Just looking to get a better understanding of what you explained. If you don't mind, could you please elaborate. I am diligently researching and trying to inform myself so I can run a successful start up business. I want to learn as much as possible! Lol