Sole Vs Partnership

[sidesh0wb0b]

Interesting. I'll have to ask better questions next time I get to talk to someone. I was understood it was effectively a very thin wall. Thanks!

there should be multiple layers of protection, always.
the entity, the insurance, etc. pay your CPA and attorneys well. they are worth every cent!

 

[JMN]

http://www.limitedliabilitycompanycenter.com/

Found this place. Hope it helps someone else too. Not fully applicable everywhere, but lots of decent information.

 

[vurban210]

there should be multiple layers of protection, always.
the entity, the insurance, etc. pay your CPA and attorneys well. they are worth every cent!

I agree, but you got to find the right CPA and the right attorney.

I would also add that all of this depends on your situation and the assets you have. Specifically if you own your own commercial building. But setting it up correctly from the get go is important.

My only gripe is that at the end of the day unless you are taking things to 'nth degree there is a pretty good chance that if someone sues your business they will also sue you personally.

 

[JMN]

I agree, but you got to find the right CPA and the right attorney.

I would also add that all of this depends on your situation and the assets you have. Specifically if you own your own commercial building. But setting it up correctly from the get go is important.

My only gripe is that at the end of the day unless you are taking things to 'nth degree there is a pretty good chance that if someone sues your business they will also sue you personally.

Good addition. In my state I was advised when I got to the point of purchasing real property to have it owned by an LLC and be separately organized from the business. This was suggested to prevent a failing facade or tree damage onto neighboring property from impacting the core business.

 

[vurban210]

Good addition. In my state I was advised when I got to the point of purchasing real property to have it owned by an LLC and be separately organized from the business. This was suggested to prevent a failing facade or tree damage onto neighboring property from impacting the core business.

Yep, from what I understand LLC's are the go to for real estate. I think it has to do with the fact that LLC's income is still "pass through" yet you retain more flexibility than a S or C corp. Plus, the tax filing requirements are not as strict.

Just to add: at the end of the day when it comes down to liability nothing is better than good liability insurance. And like sideshow said, find a good insurance agent. You would be surprised how many agents are clueless about business insurance and will set up your policy completely bass-ackwards. The other thing is if you want the correct insurance be up front with your agent, they have to know your risks to write the correct policy. Make sure they come to your business and see what you do.

 

[Cory]

I actually just had to write a paper about the different business entities for my Foundation of Financial Management class...go figure! And just like Vurban said, it all depends on the situation, especially with how particular our industry is. In my case, i wanted to open the lab from home, got the space, might as well use it; won't be requesting loans for start-up, and i'll be the only employee... I'll have my husband be the delivery boy and pay him with tips

 

[Doris A]

I actually just had to write a paper about the different business entities for my Foundation of Financial Management class...go figure! And just like Vurban said, it all depends on the situation, especially with how particular our industry is. In my case, i wanted to open the lab from home, got the space, might as well use it; won't be requesting loans for start-up, and i'll be the only employee... I'll have my husband be the delivery boy and pay him with tips

Check with your city's zoning to see if you're allowed to have a lab in a residential area, also check with your homeowners insurance to see how far through the roof your premiums are going to go. Where I live a lab has to be zoned business or commercial.

 

[JMN]

Check with your city's zoning to see if you're allowed to have a lab in a residential area, also check with your homeowners insurance to see how far through the roof your premiums are going to go. Where I live a lab has to be zoned business or commercial.

In addition to the rest of the equation, our town requires a $50 non-refundable fee to the zoning board if you are in your home with any business for them to make sure it's ok to do specifically what you want to do. They give a Yea or Nay only. Sometimes they come visually check, sometimes not.

Otherwise someone just turns around and looks at a map and goes "Yep"

 

[Doris A]

In addition to the rest of the equation, our town requires a $50 non-refundable fee to the zoning board if you are in your home with any business for them to make sure it's ok to do specifically what you want to do. They give a Yea or Nay only. Sometimes they come visually check, sometimes not.

Otherwise someone just turns around and looks at a map and goes "Yep"

We don't have that but the fire marshall pays us a visit once a year, and for the honor of his visit we get to send the city a check for $50.00.

 

[Cory]

Check with your city's zoning to see if you're allowed to have a lab in a residential area, also check with your homeowners insurance to see how far through the roof your premiums are going to go. Where I live a lab has to be zoned business or commercial.

Yeah, i was told about the zoning when i first thought of having the lab so i started my inquiries, according to my HOA, as long as i don't put up a neon sign displaying the name of my lab, or have people constantly coming in and out, and as long as the business is secondary to the house (occupies less than 25% of it)...they are ok with it. of course, as long as i'm not being a nuisance to the neighbors, but i don't think i need a lab to do that.

 

[vurban210]

Yeah, i was told about the zoning when i first thought of having the lab so i started my inquiries, according to my HOA, as long as i don't put up a neon sign displaying the name of my lab, or have people constantly coming in and out, and as long as the business is secondary to the house (occupies less than 25% of it)...they are ok with it. of course, as long as i'm not being a nuisance to the neighbors, but i don't think i need a lab to do that.

Thumbs up on checking with your HOA. So many people make that mistake, then once they start things up someone smells something funny (burnout, monomer, etc) and they start a whole bunch of problems.

 

[Cory]

Thumbs up on checking with your HOA. So many people make that mistake, then once they start things up someone smells something funny (burnout, monomer, etc) and they start a whole bunch of problems.

I wouldn't want to upset my HoA, wouldn't want to be wrapped with ortho wire and dipped in monomer "the greater good" and all... get it? Hot Fuzz anyone?

 

[Cory]

Hi Cory,

Are you an all around technician?
Because it would be a big asset if you know your profession from all sides. Beside technical skill you would need administration, marketing and a good communication skills.
Sometimes a partner can take care of someone of the shared responsibilities.
In short term a partner can be very helpful but in long run it may cause lots of friction. Just like a marriage


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Yeah i am..i do c & b...implants...dentures... RPDs...ortho appliances.. only thing we didn't do in our lab was rpd framework. I also kept inventory levels, did equipment maintenance... and yes, even volunteered to change the plaster traps all the time. I did it gladly because the other 2 civilians that worked with me are amazing mentors and past retirement age

The part about marriage is true... i've been married for about 14 years now and is not always easy... i'm planning on being the only employee anyway

 

[Solaris]

Where the will is, there is a way.
Good luck


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[JMN]

We don't have that but the fire marshall pays us a visit once a year, and for the honor of his visit we get to send the city a check for $50.00.

Ours has a "Don't burn down the city and I don't care" view. They have bigger problems with a business in town using 10K+ gallons of stuff with a 40deg F flash point. That's the nicer stuff there. One's vapor will let your skeleton reach the emergency leak button, but reaching it isn't for you. Fun place.
Never had an inspection or even question after having the FD come at 1am when I left something on that boiled dry and the smoke set off the alarm.