OT] partialy I was wondering what suggestions for programi ng [x-adr

[Garrett Goebel]

Hal Dunston wrote:
>Garrett Goebel wrote:
>>
>> Visit the Small Business Admininstration website: www.sba.gov and
>> SCORE www.score.org which specializes in counseling small businesses.
>> Learn how to setup your own business. Setting up a sole propietorship
>> isn't hard. Along they way, you'll learn a thing or two about
>
> A comment here.  A sole proprietorship is about the worst type of
> business you can set up.  There is _no_ protection from legal
> liability at all.  The entire purpose of a corporation is to protect
> your personal life from your business life.  A sole proprietor is
> personally liable for all the actions of his business.  That means
> you can lose all your individual and personal assets.  A corporation
> or at least a partnership is a vastly superior way to go.  That way
> your home, car, and other personal assets aren't at risk.

I ran a C Corp for a couple of years before calling it quits and going to
work for one of my customers. If I needed to go back and do it again, I'd
have no employees, form a sole proprietorship, find a good accountant and
lawyer, pay them handsomely when their services are needed, and pass the
expense along to my customers.

IANAL. And the following is advice no lawyer would give you. But people
looking to start a business would do well to consider establishing the
revenue stream first, then going back and formalizing the business
infrastructure. I would advise people to start with a sole proprietorship if
only because it is so much simpler. If you are employee number one, with no
intention of an employee number 2, 3, ...n. Then it'll make little
difference on the liability front anyway. And you won't be needing that
accountant and lawyer as frequently.

It is a common mistake that C corps, S corp, LLC, etc. shield shareholders
from liability. Unless you dot all your i's, cross all your t's, and keep
all your corporate papers and procedures correctly and up to date, a decent
lawyer has a good chance of penetrating the corporate veil and going after
you directly anyway. And believe me, there is a whole lot more accounting
and legal paper filing that goes along with such corporations.

Unless your innovating new legal frontiers, don't go down that path until
you are pulling in enough $$$ to afford the legal and accounting expenses.

--
Garrett Goebel
IS Development Specialist

ScriptPro                   Direct: 913.403.5261
5828 Reeds Road               Main: 913.384.1008
Mission, KS 66202              Fax: 913.384.2180
www.scriptpro.com          garrett at scriptpro dot com