I have two technicians at the ready to work at a wage that allows the company to make it's profit and cover some expenses including the $300 annual fee for being registered as an LLC!!!!
Wow. The LLC better keep lawyers off my behind for 300 bucks a year. I need to earn 1500 to break even assuming no other expenses!
The web page (www.firststoptech.com) now has a store for merchandise.
I may link the rentals in there so people can pay for rentals by credit card. Credit cards are accepted thanks to a linked in PayPal account. The storefront is hosted by BluJay.com. It costs nothing. Google Shopping links to it, which is how I found it. BluJay gave some directiopns how to link PayPal in. Pretty easy, so don't be intimidated. If you can handle the LLC paperwork and taxes... linking Paypal in and setting up your sale items is a snap.
I have two rentals going now at $8.00 per month set up by my first tech. He's developing a working Linux model for the Pentium 3 PC's we offer. I'm using one now.
There are now five designs for business cards. I carry around three of them for different purposes.
This is a tiny business, but it IS a business. I have people working for me and making money for this outside THING that is First Stop Tech. It may pay me fees one day for accounting and administration. Not yet though. If I want money, I need to do some of the grunt work personally. Problem is, I want to give the grunt work to teh technicians who are eager to help.
I finally got around to postign because it's tax time.
I have a second post for that.
Saturday, March 21, 2009
Tuesday, July 22, 2008
Web Site
With the LLC in place, I can work for strangers with a modicum of safety.
I have published a simple one page primitive website at:
http://www.firststoptech.com
Not much to see there, but as the business cards the wife made for me have a web page, it would be a good idea that they see something other than my web host's announcement that I would be getting off my tuchus and making a web page someday.
I'll add three pages for the three services First Stop provides next.
My partner has located three prospects for the leased equipment and he is developing our first Linux image for the Compaq Deskpros I purchased.
I have started Windows 98 and XP versions and secured 6 XP licenses. The others are already licensed with 98.
I have located open source software that will help keep the price absurdly low and ramp up a sizable clientèle quickly to hopefully get R&D funds together.
I have published a simple one page primitive website at:
http://www.firststoptech.com
Not much to see there, but as the business cards the wife made for me have a web page, it would be a good idea that they see something other than my web host's announcement that I would be getting off my tuchus and making a web page someday.
I'll add three pages for the three services First Stop provides next.
My partner has located three prospects for the leased equipment and he is developing our first Linux image for the Compaq Deskpros I purchased.
I have started Windows 98 and XP versions and secured 6 XP licenses. The others are already licensed with 98.
I have located open source software that will help keep the price absurdly low and ramp up a sizable clientèle quickly to hopefully get R&D funds together.
LLC Complete
A few weeks ago, my LLC became official with the state of Maryland.
I may do business now with a PC and if something untoward happens, I can lose my business, but not my house (and therefore the wife and kids.)
I may do business now with a PC and if something untoward happens, I can lose my business, but not my house (and therefore the wife and kids.)
Monday, June 30, 2008
Inventory
Purchased 30 Compaq computers for leasing.
25 memory DIMMs total.
8 PC's loaded with 384MB.
First test PC running well with Windows XP.
Will probably ship with the Windows 98 licenses they were originally sold with.
XP as an upgrade option to upsell.
Maintenance demands may force upgrading anyway.
First Stop will buy them from me as customers can be secured.
25 memory DIMMs total.
8 PC's loaded with 384MB.
First test PC running well with Windows XP.
Will probably ship with the Windows 98 licenses they were originally sold with.
XP as an upgrade option to upsell.
Maintenance demands may force upgrading anyway.
First Stop will buy them from me as customers can be secured.
Thursday, May 1, 2008
Hurry Up and Wait
I dropped the LLC Application in the Mail with the $100.00 fee
The LLC application says:
"Regular processing time for submitted documents is about 7-8 weeks;"
For those future moguls out there wondering about the investment involved in forming a company, I'm down $125.00 and the process can take 9 weeks if you're quick about things.
I'm not in a rush, but if you are, be sure to allow for at least that much before your LLC and trade name are up and running.
You can pay more money, maybe $150 bucks more to get faster service.
Feel free to comment below if you choose to go this route and tell us all how quick it is.
The LLC application says:
"Regular processing time for submitted documents is about 7-8 weeks;"
For those future moguls out there wondering about the investment involved in forming a company, I'm down $125.00 and the process can take 9 weeks if you're quick about things.
I'm not in a rush, but if you are, be sure to allow for at least that much before your LLC and trade name are up and running.
You can pay more money, maybe $150 bucks more to get faster service.
Feel free to comment below if you choose to go this route and tell us all how quick it is.
Thursday, April 10, 2008
The LLC form
I picked up the "Articles of Organization for Limited Liability Company From and Instructions" from:
http://www.dat.state.md.us/sdatweb/sdatforms.html
The fee will be $100.00.
Serious money for my tiny firm. The 20% holdback from my fees has been a good idea as it gives me the money needed for expenses like this.
The form looks simple enough.
(1) Name of LLC. (must include "LLC" in the name)
(2) Purpose of the LLC. (One or two sentences describing the business).
(3) Address of the LLC.
(4) Name and address of the "resident agent" who accepts "service of process" for the LLC. (must be a Maryland adult citizen.)
(5) Signature of an adult authorized by the persons forming the LLC. (Kids can form LLC's!)
(6) The "Resident agent" signs.
(7) Return address for any correspondence regarding this filing.
I'll pull the trigger soon. I would like the flexibility of adding customers who are not intimate friends even if I don't plan to expand immediately.
Paraphrasing Louis Pasteur: "Chance favors the prepared mind."
http://www.dat.state.md.us/sdatweb/sdatforms.html
The fee will be $100.00.
Serious money for my tiny firm. The 20% holdback from my fees has been a good idea as it gives me the money needed for expenses like this.
The form looks simple enough.
(1) Name of LLC. (must include "LLC" in the name)
(2) Purpose of the LLC. (One or two sentences describing the business).
(3) Address of the LLC.
(4) Name and address of the "resident agent" who accepts "service of process" for the LLC. (must be a Maryland adult citizen.)
(5) Signature of an adult authorized by the persons forming the LLC. (Kids can form LLC's!)
(6) The "Resident agent" signs.
(7) Return address for any correspondence regarding this filing.
I'll pull the trigger soon. I would like the flexibility of adding customers who are not intimate friends even if I don't plan to expand immediately.
Paraphrasing Louis Pasteur: "Chance favors the prepared mind."
Tuesday, April 8, 2008
The skinny on LLC's
It appears I need to "file articles of LLC formation or articles of organization with the state government agency in charge of corporations and limited liability companies" with Maryland's secretary of state office's "Corporation Division" or "Corporations Division."
Teh same web site strongly suggested an "Operating Agreement" which describes how the LLCs owners, or members, relate to each other and to the LLC. That'll be pretty easy: ME.
And confirming the reason behind making an LLC:
"With an LLC as the business owner, so says my attorney friend, the "worst case scenario" is liquidation of the LLC and the people who own the LLC lose what they’ve invested in the LLC.
Without an LLC, the business owner’s "worst case scenario" if there’s a "slip and fall" accident is that the owner can lose almost everything they own. In other words, the business owners could lose not only their investment in the business but many other assets as well.
An LLC may need to print new letterhead, business cards, and envelopes that use the new LLC’s name in order to show the world that you’re now operating as a limited liability company. (Not a problem since I have none of these made for First Stop Tech yet.)
Finally, an LLC can save the owners thousands of dollars a year in income or payroll taxes.
As to why one sets up C and S corporations:
"A C corporation, for example, often lets businesses provide rich tax-free fringe benefits to employees including shareholder-employees. And an S corporation often lets a business dramatically reduce the self-employment, social security and Medicare taxes paid on the owner’s profits"
Something to keep in mind if the company someday makes more money than I know what to do with.
Why wouldn’t every business use an LLC or limited liability company?"
Perhaps predictably, there are some costs and headaches associated with operating as an LLC. While the bank account for a sole proprietorship may be free, a limited liability company probably won’t be. The bank may charge $10, $20, or more each month.
An LLC probably needs to file its own tax return if the LLC operates as a partnership, a C corporation or an S corporation. (Not applicable to me, a sole proprietor and filing as such)
Okay, I'm sold.
Let's get it done.
Google "Maryland LLC application....Bang!":
http://www.dat.state.md.us/sdatweb/sdatforms.html
Sources:
http://www.buzzle.com/editorials/12-23-2005-84744.asp
http://www.buzzle.com/editorials/12-23-2005-84745.asp
Teh same web site strongly suggested an "Operating Agreement" which describes how the LLCs owners, or members, relate to each other and to the LLC. That'll be pretty easy: ME.
And confirming the reason behind making an LLC:
"With an LLC as the business owner, so says my attorney friend, the "worst case scenario" is liquidation of the LLC and the people who own the LLC lose what they’ve invested in the LLC.
Without an LLC, the business owner’s "worst case scenario" if there’s a "slip and fall" accident is that the owner can lose almost everything they own. In other words, the business owners could lose not only their investment in the business but many other assets as well.
An LLC may need to print new letterhead, business cards, and envelopes that use the new LLC’s name in order to show the world that you’re now operating as a limited liability company. (Not a problem since I have none of these made for First Stop Tech yet.)
Finally, an LLC can save the owners thousands of dollars a year in income or payroll taxes.
As to why one sets up C and S corporations:
"A C corporation, for example, often lets businesses provide rich tax-free fringe benefits to employees including shareholder-employees. And an S corporation often lets a business dramatically reduce the self-employment, social security and Medicare taxes paid on the owner’s profits"
Something to keep in mind if the company someday makes more money than I know what to do with.
Why wouldn’t every business use an LLC or limited liability company?"
Perhaps predictably, there are some costs and headaches associated with operating as an LLC. While the bank account for a sole proprietorship may be free, a limited liability company probably won’t be. The bank may charge $10, $20, or more each month.
An LLC probably needs to file its own tax return if the LLC operates as a partnership, a C corporation or an S corporation. (Not applicable to me, a sole proprietor and filing as such)
Okay, I'm sold.
Let's get it done.
Google "Maryland LLC application....Bang!":
http://www.dat.state.md.us/sdatweb/sdatforms.html
Sources:
http://www.buzzle.com/editorials/12-23-2005-84744.asp
http://www.buzzle.com/editorials/12-23-2005-84745.asp
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