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LLC company

Discussion in 'Business Fundamentals' started by JTS Landscaping & Lawn Service, Nov 5, 2005.

  1. i was talking with my insurance company and he was talking that i should look into becoming an LLC company. was wondering what a LLC is
  2. jglandscaping

    jglandscaping Senior Member
    Messages: 271

    Its a limited liability corperation. Keeps all your financial stuff seperate from your personal. If someone comes and trys to sue you:gunsfiring: , they can only take what is in the companies name, not yours. Its the best way I think it is to set a company up.
  3. kingriver

    kingriver Senior Member
    from alaska
    Messages: 216

    If your are serious about your business and dont want to have to worry about being sue'd and loosing everything then it is the best bet, like jglandscaping said, they can only take what the business owns !!!!
  4. Dwan

    Dwan Senior Member
    Messages: 879

    It is a way to hide from your responsibilitys. If you screw up you don't have to be responsible for your actions. I require a bond before I will work for any LLC co's or they have to pay me in advance.

    This is just my view.
  5. bigjeeping

    bigjeeping Senior Member
    Messages: 678

    So if a small child gets out of bed at 3 am because he sees flashing lights on his driveway and sneeks outside to find himself behind your plow truck being run over.............. you would consider THAT LLC company as screwing up and hiding from it's responsibilities?
  6. DBL

    DBL PlowSite.com Addict
    Messages: 1,310

    the llc is a seperate idenity with one tax form which is great and were looking into it but i just had a thought can i have my trucks in my name and only a few things in the llc then if i screw up then can only get what the company has
  7. Dwan

    Dwan Senior Member
    Messages: 879

    All I am saying is I feel everone should be responcible for there actions and there should be no law for them to hide behind if they screw up.
  8. Makndust

    Makndust Senior Member
    Messages: 324

    My attourny advised that we LLC our snow removal business. When we picked up a major C store that is open 24 hours a day I got a little nervous with the amount of traffic in and out at all times of day and night. Our attourny strongly suggested it just for a protection factor. Where it gets tricky is the LLC being a seperate business. We are set up so that the only thing that the LLC owns is the checking account. We are payed through a equiptment lease from the LLC. I don't know exactly what repercussions are going to be come tax time but in April I guess I will find out.

    The thing you have to remember is YOU don't have to necessarily SCREW UP. If someone slips and falls because he/she is clumsy and sues your client then you are in the lime lite. When they take the wifes new suburban (or what ever her favorite toy) away she's gonna be pissed so you might as well be prepared/insured. In our business there is a certian amount of extra Liability I believe. It cost us about 800 to get the paperwork done with the attny. I hope that it was a good investment. Just remember that you have to jump all the hoops as far as a corporation is concerned such as meetings and so on. Good Luck.
  9. DugHD

    DugHD Senior Member
    from Maine
    Messages: 420

    JTS, I would suggest that you get a opinion from a attorney and your accountant or tax preparer. I have some companies set up with LLC arrangement and or Incorporated. They both have pros & cons based on acounting issues and what your liability is. Also if your a small company like I am , you can still be sued in civil court personally as the owner of the LLC or corporation. I would spend a few hundred on a opinion to get set up right. It could effect the rest of your life. Good luck
  10. SnowProGRES

    SnowProGRES Member
    Messages: 34

    An LLC will definatley protect your assets better than remaining a DBA, and forming separate LLCs within the company will help protect company assets from risky ventures.... I.e. LLC your snow company and your landscaping company separately - or, if you purchase substantial income property LLC the property separtley from your other business interests. it makes for more paperwork, but protects the you from the business, the business from you, and the businesses from each other. :yow!:

    Just as a pedandtic side note, your LLCs and Incoporations will not protect you if not propertly formed and maintained... that is to say if you have two corporations using one common checking account a rival attorney will have no trouble piercing your corporate viel.:gunsfiring:

    Walk softly and carry a big lawyer :angel:
  11. Makndust

    Makndust Senior Member
    Messages: 324

    Another way to protect what you own is a Trust. As I stated before, I started the LLC last fall. I spoke to my in-laws and they have all their assets in a trust. They said that they could be sued but the assets in the trust couldn't be touched. I may look into that myself this fall and see what the ramifications are. Mabey between the commercial Liability, general Liability policys, the LLC and then a Trust I won't get ulcers early in life.
  12. Call Me if your interested

    Give me a call if your interested in the actually process of becoming one. I did it this spring. Pretty much what you do is print a paper of the net, mail it in with a >>>??????$50 ???? check and wait for the papers to come back. Then you pay ?????$50????? a year to keep it going. Consider it a cheap insureance policy.......

    call me if you want any help with that or anything, im in NW grand rapids, right near walker

    - Jon Alkema
    First Class Lawncare and Plowing, LLC