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1) get a good accountant
2) do step number one
3) make sure you did step number one...!
4) listen to him/her about paying taxes
5) pay yourself a salary so you don't have self employment tax on all earnings (LLC, filing as S-corp)
6) bank account
insurance, lawyers, yada yada...double check that you did step one!

booger wrote:One bit of advice that worked really well for me was to make mine an LLC instead of an S-corp.

Now......... it has been awhile so things may have changed, my "facts" may be wonky, but the gist of it is that as an LLC you'll deduct and file the payroll taxes as you go. With an S-Corp you would do it quarterly and that's where you can get into a real bind, not taking it out as you go along and then whammy, a quarterly payment owed to the KGB........... that you can't make,............. then the KGB owns you.

There was also some other pain in the ase with an S-Corp, quarterly meeting minutes, annual meeting minutes had to be filed too.

boog sez - LLC

It's a heck of a lot more complicated than that. Being an "LLC" instead of a "S-Corp" is really comparing watermelons to apples. The S-Corp designation is how you file your taxes......usually C-Corp or S-Corp. You can be an LLC or PLLC and still file your taxes as a S or C-Corp. Also, you don't file payroll taxes quarterly b/c you are an S-Corp. I file as an S-Corp and they take payroll taxes out of my account every 1-2 weeks. If you are running a company you don't get "whammied"....or you won't stay in business long. You have to be organized and plan. If you have a Corporation of any kind filed with the secretary of state, you are obligated to keep minutes.

booger wrote:One bit of advice that worked really well for me was to make mine an LLC instead of an S-corp.

Now......... it has been awhile so things may have changed, my "facts" may be wonky, but the gist of it is that as an LLC you'll deduct and file the payroll taxes as you go. With an S-Corp you would do it quarterly and that's where you can get into a real bind, not taking it out as you go along and then whammy, a quarterly payment owed to the KGB........... that you can't make,............. then the KGB owns you.

There was also some other pain in the ase with an S-Corp, quarterly meeting minutes, annual meeting minutes had to be filed too.

boog sez - LLC

Ok and this is why you should consult an accountant .... not being smart just saying most people who are not an accountant or lawyer dont understand the differences in entities..... S-Corp you are required to pull a salary from the company in which your taxes will be held out each pay period .... and LLC has nothing to do with accounting... LLC is for legal reasons ONLY..... An LLC can be filed on your individual return on Schedule C or it can be an S-Corp etc etc. Also meetings and minutes apply ONLY to C-Corps.... Like i said contact an accountant

iron grip wrote:1) get a good accountant
2) do step number one
3) make sure you did step number one...!
4) listen to him/her about paying taxes
5) pay yourself a salary so you don't have self employment tax on all earnings (LLC, filing as S-corp)
6) bank account
insurance, lawyers, yada yada...double check that you did step one!

Ditto this!!! Accountant is much more RESONABLE money wise and a lot easier to get in touch with while dealing with the many questions you will have plus they know the ins and outs of what is best for what business you are starting. Can help you with monthly payroll, taxes etc to get you going so you don't muck up. My wife is a cpa and does this for many and unlike most she does not charge you by the hour for every phone call. She does payroll for some which is not the norm but is cheaper for the business owner than getting an office, secretary, etc and their time. The upside is everything is at one place and he they trust what she does and knows it will be correct. She would be glad to help you if you are around the rankin co area. She has helped many on this board. Whoever you chose, go with cpa then an attorney. In that order and you will be greatful.