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View Full Version : What is the next step!


geekhelp4u
02-28-2008, 12:04 AM
Ok... so I have the company set up! I have been granted an LLC through the state of Texas, which is great, as a sole LLC my taxes are combined with my personal taxes. (Granted the LLC was expensive to set up, but I am glad I got it out of the way). Have my business cards set up (making sure it says LLC on it for legal purposes)! Through the business kit, I have all my paper work ready to go (again with LLC on it for legal purposes). Web site is good to go. Bank Account should be up and running tomorrow! Researching local advertising (starting off with a more regional area, as Houston is too large to begin all out with and too expensive. Looking at newsletters and mailings per specific zip code)... now what about:

Taxes. Since I am single owner LLC (personally taxed not company taxed) with no employees... do I have to charge tax on my work, or since it is a service not worry about charging clients taxes? I know I don't need a franchise tax in Texas until I start making $300,000 a year (at which point God knows ill pay whatever necessary :) ).

Insurance: Do I really need it? Even as an LLC? I know General Liability will be around $350 a year... and is it necessary? (Not mandatory in Texas) What about Professional Liability? Is it really necessary, as it will run around $1000 a year which I really can't afford yet!

Bank Account: upon approval they will need Articles of Organization and Operating Agreement. What exactly should I have ready for this? Is this just the certificate of filing from the State and the certificate of formation, or will they need addition info?

Any other tips and ideas to get the wheel rolling???

Nathan H
02-28-2008, 12:23 AM
Please forgive me for being direct.

But the best advice I can give you is go get customers and get the cash coming in.

without your customers cash coming in none of the other stuff your doing matters.

IMHO forget about Insurance for the first month our so.

What's the point in having it if you don't get any customers, or if (God forbid) your business goes bust.

I like you spent ages getting everything sorted, but none of that matters if you don't get the customers first.

Remember you can always sort out paperwork, insurance, policies, around customers, you can't or rather shouldn't put customers on hold or have customers work around the other stuff.

Sorry to be so negative, it's just my opinion.

Good luck with your new venture, and I wish you every success.

geekhelp4u
02-28-2008, 12:37 AM
Thanks for the advice, and I am doing exactly that. Unfortunately, I spend 3 days a week at college, so I am not home to do any work (as business picks up, ill start transporting computers to work on while i study). Since I have some free time while I am here, I am trying to get all my paperwork ready to go. Already have clients rolling in, and computers waiting for me to work on when I head back to Houston tomorrow! I am not to worried about the business going bust as I am viewing the start up as a part time job! I am just curious about if I need to charge taxes, how to create an Operating Agreement (wish it was in the business kit), and when I should start to worry about insurance and what kind (think it is best to wait on this until I have a solid client base)!

Checkmate
02-28-2008, 01:57 AM
Does the state of Texas require you to pay taxes on service? In IL for example, I don't have a service tax, but do have to charge sales tax on my vendor supplied items, like HDD, Optical drives. Various parts like that. If I purchase in route, I just have client reimburse me the sales tax. So honestly, if TX doesn't mandate a service tax, then wouldn't bother charging one.

cmonova
02-28-2008, 02:47 AM
Taxes. Since I am single owner LLC (personally taxed not company taxed) with no employees... do I have to charge tax on my work, or since it is a service not worry about charging clients taxes? I know I don't need a franchise tax in Texas until I start making $300,000 a year (at which point God knows ill pay whatever necessary :) ).

I am not in Texas but I do not believe you have to charge tax on your work just on your materials. I'd call the place that does the business registrations for that answer.

Insurance: Do I really need it? Even as an LLC? I know General Liability will be around $350 a year... and is it necessary? (Not mandatory in Texas) What about Professional Liability? Is it really necessary, as it will run around $1000 a year which I really can't afford yet!

You need to at least have some sort of insurance, i'd go with the general liability due to the cost. But, you do need it.

Bank Account: upon approval they will need Articles of Organization and Operating Agreement. What exactly should I have ready for this? Is this just the certificate of filing from the State and the certificate of formation, or will they need addition info?

It should just be those items. I do not believe they need anything specific based on your company.

Any other tips and ideas to get the wheel rolling???

It sounds like you have a good plan in place and are moving right along. I think you need to put alot of attention into the marketing phase and make sure you have a game plan for that. You need to be concerned with everything like you have been. Bottom line is it's your business and if you are not concerned and tracking it then who's gonna do it?

Holzster
02-28-2008, 10:33 PM
I work in Texas (North of Dallas) - the state of Texas does not charge tax for services. But if you resell anything you must charge tax, unless it is the exact same price you paid, in the same city, & you paid tax on it already.
It is only a few dollars to get a tax permit here. GO GET ONE NOW!! If you have nothing to claim just say $0.00 like I did my first couple of quarters. It is all online so no forms to fill out!!

What area of Texas are you working?

geekhelp4u
02-28-2008, 10:51 PM
What area of Texas are you working?[/QUOTE]

Cypress just outside of Houston. What little hardware I sell is purchased locally and I only charge my clients what I paid for it as reimbursement!

Holzster
02-28-2008, 11:03 PM
Have a Skype account - we can talk & can give you some tips I learned here - or if you are in the Dallas area....

PS - I am also an ARMY vet - 87-92 I was a 95B (Military Police)

Holzster

geekhelp4u
02-28-2008, 11:55 PM
Have a Skype account - we can talk & can give you some tips I learned here - or if you are in the Dallas area....

PS - I am also an ARMY vet - 87-92 I was a 95B (Military Police)

Holzster

No skype account... never had a use for it yet... that is what my phone is for! I was in from 04-07 Primary 25U - Signal Support Systems Specialist with a 25B Secondary MOS - information Systems Operator-Analyst

Holzster
02-29-2008, 01:13 PM
I got a Skype out account ($36/year) & a Skype phone ($30 at Walmart) it looks like a regular phone except it plugs into a USB port. I not can make unlimited long distance calls to US/Canada - this lowered my cell phone & lind lin bills.

Holzster

Nathan H
02-29-2008, 11:19 PM
Not more ex Army lads what is this world domination my ex forces.

P.S. Did I mention i too was in the Army (UK) 95-03 1LI;)