Pretty new to the game have a ton of questions:
1) I jus formed my LLC in Wyoming and i currently live in New York and plan on driving out of new jersey/Delaware is that fine?
2) I put the physical address of my business as my home address in new York when shopping for insurance thru Wyoming agents i was told since my business address is not in the state i would have to go through new york insurance, should i make an amendment to my LLC and get an address in wyoming so i can get cheaper insurance rates because i was told Wyoming is way cheaper than new York
3) ideally I want to drive with amazon, and the requirements are as follows:
Is there a company or companies that handle getting cargo coverage commercial general liability, auto liability , employer liability etc because I don't know how to move forward
- An active DOT number with interstate authority and a valid MC number
- A “Carrier” entity type that is Authorized for Property and for Hire
- A Federal Motor Carrier Safety Administration (FMCSA) Safety Rating of “Satisfactory,” “None,” or “Not Rated”
- All required insurance policies including:
- Commercial General Liability not less than $1,000,000 per occurrence and $2,000,000 in the aggregate
- Auto Liability not less than $1,000,000 per occurrence, including a trailer replacement coverage of $50,000
- Cargo coverage of at least $100,000
- Workers’ compensation insurance in all jurisdictions where your company operates
- Employer liability not less than $100,000 per occurrence
also any advice on renting a truck and rates I should expect
I know I'm asking a lot appreciate all responses just a 23 year old kid trying to get my start
Just formed an LLC what are my next steps?
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1)First of all I do not think it's a good idea for you have an LLC in a different state. No matter what you do you can't escape the taxes of the state you are in Plus you'll have to pay taxes in the other state
and there are fees associated with keeping the LLC in a separate state.
2) how you set up your insurance and what you put on the application is of the most incredible importance of anything you will do in that business.
As far as I know you can't just get an address in Wyoming you have to be a resident and be able to prove that you actually live there.
If you attempt to live in New York and have your insurance in Wyoming and God forbid you have an accident where someone gets killed or there's some hundreds of thousands of dollars of claims, the insurance company can look at you and say not only are we not paying it we're coming after you for insurance fraud which is a crime.
Never do anything that is not 100% that is not 1000% transparent with the insurance company.
3) my friendly advice to you is to not start a business plan with the plan being to work for one company. In general that rarely ever works out and stuff just happens sometimes.
Amazon is notorious for low pay cancelled loads and I'm sure a whole bunch of other issues. Not that you couldn't pick up work with them if you wanted to but you need a plan with dexterity.
Renting a truck is not an easy task. Many rental places require you to be a fleet that has been in business so many years before they will rent to you.
Also many of them require contracts which are probably two years in length. You may find something different but as far as I know that's about what it is because even if you could rent by the day or week the number will be so astronomical you couldn't make any money.
And even if you rented it on a contract for two years or whatever the cost is so expensive myself I doubt you could even make money especially with some place like Amazon.
I admire you at 23 years old trying to move forward and being proactive but the steps that you've laid out in my own opinion are not going to work well for you.
You need to revise your plan and make sure you have plenty of money and dexterity so that if one thing doesn't work you can go to another.
And if you need business advice or help joint ooida.
This site is great because you can ask questions and you'll get help but ooida is what you want to join if you are an owner operator.
They will answer any question that you have about compliance or anything else they have plenty of educational videos and they will set your Authority up for you and all of that if you pay them.
It cost $45 a year for the membership and I'll tell you that's the best $45 that I've spent since I've had my truck.
You should really read the free information that is on this very forum and ask questions too. OOIDA is an EXCELLENT place to start as well. Having said that, I personally do NOT think that you have really had enough information to do anything beneficial for yourself including forming the aforementioned LLC. There are more steps to forming a business than you have outlined above.
I just see an odd pattern with amazon services being insistent by new members to start business. We all know they are at the lower rate bracket and know that they are strict.
I do know paid influencing is all over the place and undetectable or nearly undetectable. It isn't a reflection of the site, management or admins here, just seeing something odd.
If I insulted you or anyone else at your level, I appoligize.
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