Form LLC or no

Thats assbackwards,, call ooida, 700 bucks foe everything

 

1. If you are the person responsible for the harm, then no LLC will protect you. That goes for any CEO of any LLC or corporation. LLC will protect you in case your employee will cause harm.

2. Banks will try and go after your personal assets if you signed something that will give them such avenue. For instance, if you signed a loan that is guaranteed by you personally.

3. It is better to form LLC than not to do it at all because in principle it separates the business entity from you as a person. If you expand and hire more people this will become necessary for things like protecting yourself as a private person from accidents and lawsuits created by your employees.

4. LLC or Corporation will enable you to choose to file with IRS as S-Corporation, which means that you can save on Taxes. The way it works is that you need to pay yourself a reasonable salary and the rest of your profits you can take as an owner's draw - which is where the savings are. The owner's draw or dividends are taxed less than your salary (payroll checks) where you pay income tax, social security tax and medicare, unemployment insurance etc.

5. In order to pay yourself a reasonable salary, you have to pay yourself about as much as the industry standards indicate. For example, if you run 2000 miles a week, then at least 30c - 35c per mile should be compensated for such a workload. OR ask yourself a question, if you could find a person that would agree to do the work you do for as much as you pay yourself.

 

I think so too.

 

I would create llc to protect yourself and keep your business separate from personal stuff. I would open business checking account under your llc name. You can open llc in different state. People use llc for many purposes.

 

A DBA WOULD BE OKAY TO START THEN IF ITS WHAT YOU WANT TO DO AND MAKE BIG MONEY AND THEN FILE CORP.

 

If you are a one member LLC (like me) then yes it will protect your assets as long as you run it like a business. My company doesn't have any assets as they are in my name. The company leases the equipment from me, in the lease I am also protected. The bottom line is if you are going to be in business then run it that way.