Posted by It was suggested to me to start my own private contractor business when proposed with a job offer from my father in law.
He owns his own home business installing security camera systems. He suggested I start a business and would use me as a private contractor when helping him with these installations. Mainly running video cables and mounting cameras.
He also suggested I call the bank and ask for the cheapest Business account available and once he’s paid I deposit tht money into the account and pay myself from it. Also to keep a percentage in there to cover my taxes.
My brother suggested checking into LLC also.
But I believe there has to be more than just opening an account to run a business.
I’ll be working for his business as a private contractor exclussively, no one else. I will not have employees and all that. Just me helping him.
What steps do I need to take in doing this?
What are the benefits of using me as a contractor and not an employee?
Sounds great. You brother is correct about the LLC. http://homebizseo.com/50states/Georgia.html Learn the process of requirements for starting a business in Georgia.
Well first of all you will need to have a company name, then you will have to file that name at your county court house. The filling clerk will tell you if anyone else has the name you have selected. As for the bank account it is a good idea to open one but you have to understand that you can not use it for nothing else, only the business. The other thing I would do is to get a tax number, this will help you get the supplies you need and help you keep track of how much you will need to pay in your taxes. You will need to also keep good records, which includes all your receipts. The best way I found to do that is to get an accordion folder, label each folder;
1. Gas
2. Supplies
3. Clothing/Uniforms
4. mileage
5. Meals
6. Entertainment
7. Hotel
At the end of each week put all the totals on the front of an envelope and seal in all your receipts. File it away with the date range on it, ex: Jan 1 thru Jan 7, 2008
There is a lot that goes with starting a business.
God Bless and good luck