Future owner operator (begining in hotshot)

Chezzy not to start an argument but Most all of the CA scales say No Pickups. I know you are going to say that they also say "All Commercial Vehicles" But they explicitly say "No Pickups". I run a 40 foot deck over back and forth every week and go right past the scales in CA. I stop at the scales in AZ though.

In AZ (Where I am licensed) ALL dually pickups are registered as Commercial because they are over 8K pounds. I am sure the sign is meant to keep guys pulling their own campers out but it does so no pickups and I have never been stopped. If I ran an IRP plate or a Chassis I would stop.

OP: I run a Dodge 3500 with the 6.7L and a 6 speed Automatic. I have had no problems pulling so far. That does not mean I won't. Car hauling is tough, I see lots of them around. If you are going to register your truck for 30K you may as well register it for 34K. Anything over 20K you need at least a DOT Physical and anything OVER 26,000 pounds you will need an IFTA sticker. I register at 26,000 so I do not participate in IFTA. If I registered 26,001 and I would have to.

 

wow, that is cool. in most other places it is determined by weight. wish it was like that here!

 

I'm a little confused, I thougth the reason why you form a LLC is to protect your personal assets from your business. Can you explain a bit more. I also will be buying and starting my truck company soon and was heading toward the LLC route.

 

No LLCs do not protect your assets, that is a fallacy.

Here is why, assuming you are a driver/owner and pretty much do everything, you make decisions.

You have an accident, you kill three people in a car while hauling a load of widgets.

Because you are an owner, and a driver, you have an added liability, so as an ambulance chaser lawyer for the family you killed, I dig into your finances. An llc only provides a pass through tax advantage, I can find out all the other stuff through records and then I can sue you as a driver (plus your insurance company) and your company which is you. So you lose in court, you have to pay the family beyond your insurance (as a driver) so that means I can go after your assets which I present to the court and they can make a determination which ones to seize or sell or transfer.

Now many will say that's impossible but I know it isn't. I've been involved with lawsuits before and have been warned by my lawyer what I need to do to protect my assets - an LLC is off the table completely. The only way you may protect yourself is a corporation (preferably a C corp). I say may because still there is a liability involved as a corporate officer/manager of the company. A C corp sounds complicated but if setup right and used right, it will save you money on your taxes.

 

Thanks for the reply. But it seems ( as far as liability in the above scenerio) who ever is driving will get letters from the victims family, no matter what. Am I right?

Thanks again for bringing the C corp option to my attention. I would've never thought of anything other than a LLC. I will research more on it. Thanks.

 

Yes you will as a driver but the difference is that many times insurance would be involved and the driver would not be liable for the money.

 

Oh ok, right. I'm getting myself familiar with c-corp. If you have any more info or links to good infos, please share. I'm sure there are many here with similar concerns and questions who will welcome and appreciate any info as I do. Thanks

 

The best thing to do is to get an accountant who knows what to do to set it all up for you and who will advise you how to use it right, many may point you to an LLCs which means they are not that good,