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Discussion in 'Introduce Yourself to the Community' started by dieselboy01, Jun 20, 2012.

  1. dieselboy01

    dieselboy01 Senior Member
    Messages: 771

    Hello all! I'm new to this site but not new to plowing, I have been a sub for many years and I want to go out on my own. I have a few small cash accounts and like everyone else I want to get bigger jobs. My questions are Should I become an LLC right way? Do I letter my truck(s) right away? Should I talk to an accountant before I really start anything? Any and all advice would be greatly appreciated.
  2. thelettuceman

    thelettuceman PlowSite.com Addict
    Messages: 1,216

    Definitely talk to an accountant to find out how your biz should be set up. Letter your trucks and do not use magnets. Magnets look amateur and can damage your paint. Good Luck & welcome to the forums
  3. PPNH

    PPNH Junior Member
    Messages: 7

    Seeing as you said you want to do bigger lots and possibly commercial i would recommend registering as LLC. It looks more professional, provides your some crediabilty with banks and also PROTECTS YOU from being sued.

    alot more goes into it then you suspect. You need insurance, reliable equipment, resources, help, and most importantly clients.

  4. dieselboy01

    dieselboy01 Senior Member
    Messages: 771

    Ill have to start makin calls. Do you need to talk to a Lawyer to become an LLC?
  5. peteo1

    peteo1 PlowSite.com Addict
    Messages: 1,658

    Talking to a lawyer is a good idea. Try to find a lawyer who practices construction law since construction and plowing tend to go hand in hand. I would also recommend talking to your local small business administration. They have a lot of good info that you can use and its free.
  6. Meezer

    Meezer Senior Member
    from Indiana
    Messages: 291

    I would consult with a lawyer like previously mentioned. As far as lettering or magnetic signs, we use magnetic signs. Some of the GC,s that we work for as Subs doing hardscaping, masonry, etc.,(Spring thru Fall), require all their subs to remove all signage from their vehicles.
  7. dieselboy01

    dieselboy01 Senior Member
    Messages: 771

    I've been talking to some friends in the landscaping business and I'm leaning toward becoming a business partner with a good friend of mine. He's already an LLC and has an established business. Has anyone done something like this or is anyone in business with a friend?
  8. 95HDRam

    95HDRam Senior Member
    Messages: 157

    The company I represent is not mine but is a really close friend of mine. It has worked out for the both of us so far. We both go out and submit bids on lots and we each make a profit from them regardless of who plows it. Its like being a sub but you have a say on what goes on and what you stand to make. We each have our own equipment and separate insurance. We also use a company gas card to keep track of all our fuel as a business. It is really nice in the event one of us has an issue with a truck, plow, salter, etc that we don't have to pay someone else to bail us out. So in a nut shell His business name is on the side of my truck and make more then I did as a sub-contractor but now carry all the risk because they are my lots too. Hope this helped. If not it was worth a shot.
  9. Wilnip

    Wilnip Senior Member
    Messages: 583

    I would advise against a partnership. What happens when your partner goes thru a divorce, hits the bottle too much, his kid gets in some legal trouble, etc. At least look up what Dave Ramsey, a financial genius, has to say about partnerships before you make a decision.
  10. dieselboy01

    dieselboy01 Senior Member
    Messages: 771

    Wilnip- I understand what you are saying, I have known the guy with the landscape business for many years and have watched and helped the business grow over the years. I don't foresee any of the problems you mentioned happening, but i know that doesn't mean something will/can happen. Who's to say if I start my own company that I fall on hard times, get married, then divorce, hit the bottle and lose everything I worked hard for? At least in a partnership you would have someone to help out and turn to if things stray off course.
  11. dieselboy01

    dieselboy01 Senior Member
    Messages: 771

    I read the David Ramsey article on partnerships, He brings up good points also, maybe a Joint venture would be a better plan for us, Ill have to find out more info on them first.
  12. Wilnip

    Wilnip Senior Member
    Messages: 583

    I just wanted you to see the possible down sides of a partnership, since you asked for advice. You will have to make the decision, but the best decisions are made with the most information as possible. Then do what you feel is best for you.
  13. gasjr4wd

    gasjr4wd Senior Member
    Messages: 284

    Talk to the lawyer, but ask them what is better, LLC, C corp, or S corp. Yes, it makes a difference, and they all offer limited liability. Partnership? When they go wrong, they go wrong for everyone.
    Maybe you become a S corp, then both corps. a joint venture. That protects each of you, but again, go over this with a good lawyer.
    Mag signs are great. They only damage paint if you slide them on and off and the truck is dirty. (used to work PT for a sign company)
    As others have said, separate checking accounts and everything. The credit cards don't have to be in the business account name but should be used _just_ for business. A good accountant and lawyer will tell you this.
    Don't forget to talk to your insurance person. I hear some don't like you to use company rigs for personal use. Mine doesn't care as long as I keep records for mileage. I keep detailed records 'cause I have two businesses. Other one is printing.

    Remember, the accountant, the lawyer, the insurance agent, etc, they all advise. It's up to you to decide what you should do.
  14. Clarks LLC

    Clarks LLC Junior Member
    Messages: 8


    I am new to the site and new to the snow removal business however I am not new to this type of industry. I have learned that partnership rarely works out and and in most cases you end up not having that good friend anymore either. Just something to think about
  15. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Someone will be 51% in the partnership and that will cause trouble right there. You maybe better off just subing for him then go at it on your own,But don't burn bridges with him you may need him or he may need you.
  16. RLM

    RLM PlowSite.com Addict
    Messages: 1,270

    If you have your heart set on a partnership, write the termination clauses first. What happens if it fails you know the outcome, I would say mist partnerships do fail, some do work though, it's great in theory except someone has to be the boss.