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Concidering on expanding

Discussion in 'Introduce Yourself to the Community' started by jerk117, Mar 7, 2010.

  1. jerk117

    jerk117 Junior Member
    Messages: 5

    I have been plowing for the last 4 years on my own. I want to expand and start a business with a couple of buddies plowing for me. Im gonna be in charge of getting the accounts. But i need to no if i do expand do i need to get seprate insurence on them? I currentley have 20 accounts on my own and have to turn people away because i cant get to them. I am in ny and dont know what i need to do.
  2. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    you need enough for yourself and enough to cover yourself if they do something wrong. Make sure they have their own also. Working with friends is tough. I would interview them as though you didn't know them,they may take advantage of you so just watch your back.
  3. jerk117

    jerk117 Junior Member
    Messages: 5

    i have plowed with these two for the last 2 years but see what were gonna do is i get the accounts and the accounts will pay me then i pay them. but i just need to no about the whole insurence thats what has me stumped.
  4. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Best advice call an insurance broker first. I assume you have all your business all set before you start getting contracts.
  5. jerk117

    jerk117 Junior Member
    Messages: 5

    im gonna i just need to no what kind of insurance i need. but then from there ill be all set
  6. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    Do you do landscaping to? If not just plowing insurance is very expensive
  7. jerk117

    jerk117 Junior Member
    Messages: 5

    just plowing but i need to no if i have to cover all three trucks and the drivers or just one insurance on the company
  8. grandview

    grandview PlowSite Fanatic
    Messages: 14,609

    You are the general contractor so you need insurance for your whole operation. They need their own insurance too. But if something happens you will be sued to.
  9. jerk117

    jerk117 Junior Member
    Messages: 5

    ok so pretty much as long as i have insurace on the company. and they have liabily insurance on there trucks thats pretty much what i need. and i understand on what my responsibility is. ty so much now i can make fone calls and see what i can do for my business
  10. hydro_37

    hydro_37 PlowSite Veteran
    from iowa
    Messages: 3,790

    Your agent will know what youy need. ASK him.
    Make sure to get plenty of insurance to cover your buddies.
  11. leon

    leon Senior Member
    Messages: 872

    to plow or not to plow


    UH HUH you need some ( a lot of work ) work-

    If you have been plowing for 4 years and not collected state and county and or or city sales tax .........................if you even expect to keep those 20 accounts
    and have not done what is described below.

    1. umbrella liability
    a. property damage riders for all
    2. workmans compensation

    3. DBA in your biz name $25.00 USD dollars

    4. your social security number becomes you
    tax identification number until you recieve
    your actual tax ID number

    a. you need to have proof of insurance from your
    "friends" if you are sub contracting to them and
    they need to charge sales tax.

    5. proof of umbrella liability and workmans compensation
    to operate as a contractor in your county to
    solicit business.

    6. even if you subcontract your plowing to them the rules still apply
    and you all become liable for sales taxes and must have proof of

    7. keeping proper records is a neccesity and milage driven by you
    and your employees (subs) need to keep track of their milage and the receipts,
    dont loose the receipts for gasoline or have an account for gas purchases,
    vehicle repairs and records for same are also required to be able to deduct them.

    8. your buddies if they are subs need to do the same things.

    You should attend a small business development class at a local credit union to learn
    more or be willing to spend time with an SBA counseler to learn more about oerating
    a small business properly..

    Leave cookies on the stoop for consulting services rendered.

    Advice is free, experience is what costs you cookies.

    flaming paper bags on the porch are unacceptable:laughing::waving::yow!: