Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > General Business Discussions

General Business Discussions A place to talk about general business discussions.

Going Legit


General Business Discussions

A place to talk about general business discussions.
Reply
 
Thread Tools Search this Thread
  #1  
Old 03-14-2012, 10:31 AM
element009's Avatar
element009 element009 is offline
Senior Member
 
Join Date: Mar 2011
Location: Ocean County, NJ
Posts: 176
Rep Power: 4
element009 is on a distinguished road
Default Going Legit

Alright so last year I was not fully legit in terms of reporting my income, sales tax, etc. This year (my second), I would like to make the jump. However, I am a little confused over some of the practical matters involved.

I know I will have to open a bank account in the name of the business, as opposed to taking personal checks or cash payments. What I'm not sure about is how to track my personal income separately from business income. Do I just draw money from my business account as needed and then count that as personal income?

Also, I do not yet have an accountant but I'm researching local guys as we speak. Should I get an accountant now or wait until next year when I do my taxes? Furthermore, I'm looking into getting quickbooks to keep track of all my invoices/payments. Is there any better program than this? Right now I just do all my billing with a Microsoft Word template, but I think I'll need a more organized system of invoices in order to turn the numbers over to my accountant.

Any general advice on the financial side of going legitimate would be appreciated. Thanks.
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 03-14-2012, 11:32 AM
abbot abbot is offline
Member
 
Join Date: Apr 2011
Location: Michigan
Posts: 63
Rep Power: 4
abbot is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
Quote:
I know I will have to open a bank account in the name of the business, as opposed to taking personal checks or cash payments.
To do this you need a DBA or an LLC. You need to register your business. The bank will ask for a copy to prove you are a registered business.

Quote:
What I'm not sure about is how to track my personal income separately from business income. Do I just draw money from my business account as needed and then count that as personal income?
We could answer this. But your CPA could answer it much better.

Quote:
Also, I do not yet have an accountant but I'm researching local guys as we speak. Should I get an accountant now or wait until next year when I do my taxes?
No, you need one now.

Quote:
Furthermore, I'm looking into getting quickbooks to keep track of all my invoices/payments. Is there any better program than this?
Nope, Quickbooks is top dog. Look into "intuit merchant services" It's only $20/mo and you can set your clients up for auto reoccurring payments. Unless of course, you/they are old school and rather print/mail invoices.
__________________
Mitch Howard - Internet Consultant - www.webchoppers.com

I'm here to help and answer any questions that I can about your business's online presence.
Reply With Quote
  #3  
Old 03-14-2012, 03:05 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 36,616
Rep Power: 10
Steve has disabled reputation
Default

Quote:
I know I will have to open a bank account in the name of the business, as opposed to taking personal checks or cash payments. What I'm not sure about is how to track my personal income separately from business income. Do I just draw money from my business account as needed and then count that as personal income?
Can you set up a personal and a business account? When you have enough in the business account, move some over to your personal account for your salary. Keep track of what you paid yourself and you are all set.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #4  
Old 03-14-2012, 07:00 PM
deschampsbrothers deschampsbrothers is offline
Junior Member
 
Join Date: Mar 2012
Posts: 12
Rep Power: 3
deschampsbrothers is on a distinguished road
Default Good Accountant is the key

Finding a good accountant is the key to taking alot of stress and worries off your hands, paying them a couple hundred dollars to have them file all your tax information and legalization of a business is the best money you can spend. It would take you a couple days to sit down and figure it out on your own, and then it prolly still wont be right so your better off going to work for those days to make money and leave the bs to the professionals to handle. dont just research for an accountant around you just to have one either. ask friends, family or other business owners you know who they use for an accountant and hear them out about them. ask them there pros and cons of doing business with them. another good thing to look for is an accountant who handles other landscaping businesses around you, they tend to have alot more knowledge on all the write offs and depreciation of equipment over time.
As far as managing your money you must open up a business bank account along with a personel account. you must have a DBA or LLC to be able to do this. Another thing you might want to look into is opening an additional account that you can deposit tax money that you collect into, then each time you go in and make a deposit you take your total deposit amount and take the taxes u collected from that and deposit it in the seperate one so u have it when its tax time. alot of people keep all of it together then run into a problem when they have to come up with a couple grand for it. When talking about personal money I went the route of just paying myself a set 200 bucks a week, anything closely related to the business or anything purchased while working then i would use the business account. i found this the easiest way because i have it automatically set up for the withdraw to happen every friday and it is an easy way to keep the things that your not able to write off seperate from the business paperwork. Quickbooks is a nice chunk of change to spend on a computer program but it is worth every cent, nothing matches to it and it will save you time in the long run, set it up right from the beginning and you can make it as simple as transfering your quickbooks files directly to your accountant when it comes tax time. And it is ok to do some work for cash, its just the extent that you take it, best way to try and get a few people to pay you cash is by asking your customers of your smallest properties and ask if they would be interested in making a cash payment once amount for the maintenance provided. Most of them are willing to work with you as long as you provide a quality service.
If you have any other questions feel free to ask, im 21 myelf and just went through all the same work to get everything set straight, its alot of paperwork and bs to get it right but once you do and have a good accountant its much easier to comprehend
Reply With Quote
  #5  
Old 03-14-2012, 07:33 PM
Wabash Valley Lawn Wabash Valley Lawn is offline
Junior Member
 
Join Date: Mar 2012
Posts: 5
Rep Power: 3
Wabash Valley Lawn is on a distinguished road
Default

After you are paid from all your accounts for the week subtract business expenses. After business expenses are all subtracted. The final amount is your take home pay or profit.

Example: You are paid 1700 gross for the week

$1700
-$150 gas & oil
-$30 string
-$50 insurance
-$30 drinks, ice, extra needs, etc
-$40 any other additional needs]
________________________________
$1700
-$300
**********-
$1400 net income

Place the $1400 in the business account til the next paycheck and only withdraw if you have a business need or emergency

then after your next paycheck you can place the $1400 in your personal account and mark it as a profit

Last edited by Wabash Valley Lawn; 03-14-2012 at 07:35 PM.
Reply With Quote
  #6  
Old 03-14-2012, 07:40 PM
stevef1201 stevef1201 is offline
Senior Member
 
Join Date: Apr 2010
Location: Central Florida
Posts: 1,183
Rep Power: 6
stevef1201 is on a distinguished road
Default

Going Legit?

Step One : Contact a lawyer- he will get you set up in the proper type of business, and all the paper work you need for everything. He will also get you set up with all you legal paperwork (contracts etc). He will also help you figure out what insurance you need, and what you can and cannot legal do in your area.


Step two contact an accountant. He will help you get your books set up, and help you with your taxes, federal state and local if any. He will also help you when it comes to pay the proper workers comp insurance.

Step three, keep incontact with both of the above, stay legal, stay safe, and stay out of both jail and hospital.
Reply With Quote
  #7  
Old 03-14-2012, 09:18 PM
element009's Avatar
element009 element009 is offline
Senior Member
 
Join Date: Mar 2011
Location: Ocean County, NJ
Posts: 176
Rep Power: 4
element009 is on a distinguished road
Default

how much would a lawyer and an accountant cost for a small operation?
Reply With Quote
  #8  
Old 03-15-2012, 03:09 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 36,616
Rep Power: 10
Steve has disabled reputation
Default

I would figure it would be at least a few hundred bucks for the lawyer and maybe the same for the accountant which is why I think most new lawn care business owners just start themselves and learn as they go.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #9  
Old 04-02-2012, 04:12 PM
primeomega primeomega is offline
Junior Member
 
Join Date: Jan 2012
Posts: 1
Rep Power: 0
primeomega is on a distinguished road
Default

I can tell you for me in WI, it costed me $595 for a local aty to setup my LLC with all that is needed to do. And $25 to reg. my name/logo with the state so no one can steal my name/logo. $300 or so of that was just for the state of WI filing fees.

As for billing, I am still small. So each month on the 1st I send out my bills for the month. Though some clients I do have just pay me each mow. They are older ones, that don't trust the mail, lol.

I use Square for Credit Card payments and use it also to track all my sales. So its easy and free for the most part. I am sure when I get bigger and have $$ coming in, I will move to book software. Right now I still work my 40 hour job and have about 7 clinets on the lawn side. It's a start!

Good luck!
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Going Legit LuckyClover Introduce Yourself 4 03-05-2012 03:45 PM
Go Legit Campaign Steve General Business Discussions 11 04-02-2006 09:11 AM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
Hello from Kentucky
TRV
09-30-2014 06:42 PM
Yesterday 05:57 PM
by TRV
12 1,453
leaf removal
Double J LLC
10-03-2014 05:24 PM
Yesterday 04:35 PM
by achri12
26 2,670
Thanksgiving cards
Steve
11-10-2008 11:57 AM
Yesterday 04:29 PM
by achri12
3 8,632
Hi to you NOTHERNERS
stevef1201
11-11-2014 05:56 PM
Yesterday 10:27 AM
by kslawn
6 447
Happy Thanksgiving!
Steve
Yesterday 09:48 AM
Yesterday 09:48 AM
by Steve
0 34
Say Hello !!!
Steve
03-19-2007 12:18 PM
11-26-2014 10:30 PM
by Just Cuts
1,194 349,284
Contract or no contract?
TRV
11-20-2014 09:18 PM
11-26-2014 09:23 PM
by stevef1201
5 315
Good help is hard to find
Hanks Lawn Care Services
11-19-2014 03:27 PM
11-26-2014 09:16 PM
by stevef1201
9 372
New parking area
ExtremeLawncareServices
11-07-2014 09:47 PM
11-26-2014 07:32 PM
by ExtremeLawncareServices
4 469
These are the days on...
ExtremeLawncareServices
03-22-2014 10:12 AM
11-26-2014 07:22 PM
by ExtremeLawncareServices
178 14,359
Pics for website
tbtigers03
11-21-2014 05:40 PM
11-26-2014 12:12 PM
by Just for Cuts
5 268
Hi from IL
steveinil
11-25-2014 02:07 PM
11-26-2014 11:21 AM
by Steve
1 93
WNY saying Hi.
Sargewesser
11-25-2014 07:27 AM
11-26-2014 11:20 AM
by Steve
1 101
How to: Use Thumbtack...
acrajchel
11-17-2014 06:39 PM
11-26-2014 11:19 AM
by Steve
18 688
Peco Bagger
AGPS
11-18-2014 02:20 PM
11-26-2014 10:58 AM
by Steve
10 431
Beginner Mistakes:...
Steve
01-31-2007 12:45 PM
11-26-2014 10:57 AM
by Steve
22 6,329
Billboards for marketing
ExtremeLawncareServices
11-16-2014 08:39 PM
11-26-2014 10:40 AM
by Steve
14 491
How much do you up sell...
Essex Groundskeeping
11-23-2014 07:13 PM
11-24-2014 06:29 PM
by stevef1201
8 257
This sucks...
Matther777
09-18-2014 05:56 PM
11-24-2014 05:49 PM
by biglee
16 3,296
Pressure Washing...
WesleySnips
07-31-2014 07:13 PM
11-24-2014 04:32 PM
by acrajchel
4 721
New website
Chilehead
11-20-2014 04:39 PM
11-23-2014 07:40 PM
by Just for Cuts
12 384
My site is on fronts page
tbtigers03
11-14-2014 05:58 PM
11-22-2014 10:49 PM
by Just for Cuts
16 613
Belt dealer problem
googus
11-21-2014 08:45 AM
11-21-2014 06:36 PM
by Steve
2 212
What is going on with...
biglee
11-14-2014 03:04 PM
11-20-2014 02:50 PM
by biglee
40 1,072
My advice for new guys
avetslawncare
11-15-2014 09:32 AM
11-19-2014 01:47 PM
by biglee
10 622
Lawn Care business...
crieg122
10-23-2014 02:23 PM
11-19-2014 12:39 PM
by acrajchel
28 1,992
raking leaves ?
robert8509
10-22-2014 10:19 PM
11-18-2014 04:24 PM
by acrajchel
14 1,557
Leaf removal
madmedic8575
10-24-2014 05:14 PM
11-17-2014 07:34 PM
by acrajchel
6 1,287
sod job
SGlawncare
10-30-2014 09:21 PM
11-17-2014 07:10 PM
by acrajchel
7 878
Customer wants me to...
Mr. Mow
11-09-2014 07:13 AM
11-17-2014 06:48 PM
by acrajchel
10 651
Hello!
Brian3137
11-11-2014 07:15 PM
11-17-2014 06:46 PM
by acrajchel
14 575
small biz in Phoenix,AZ
anthonyramos1
11-08-2014 09:35 PM
11-17-2014 05:59 PM
by acrajchel
2 402
Client won't pay...
WesleySnips
10-30-2014 03:53 PM
11-17-2014 05:37 PM
by acrajchel
22 1,499
Government contracts
avetslawncare
11-15-2014 08:50 AM
11-17-2014 12:59 PM
by Steve
2 357
Need help on deciding a...
Brian3137
11-10-2014 06:32 PM
11-17-2014 12:44 PM
by Steve
12 626
West cost lawn prices
SGlawncare
10-09-2014 10:51 PM
11-16-2014 07:54 AM
by stevef1201
8 1,708
So how do you guys...
Mr. Mow
10-26-2014 08:55 AM
11-15-2014 08:44 AM
by avetslawncare
14 1,830
Truck, Trailer,...
hawthornelawncare
12-23-2011 01:01 AM
11-13-2014 08:35 AM
by jrs.landscaping
81 32,032
The most dangerous part...
Steve
10-06-2014 03:45 PM
11-12-2014 05:05 PM
by stevef1201
14 1,799
A little hang up in snow...
stevef1201
11-08-2014 07:05 AM
11-12-2014 12:51 PM
by Steve
4 534
Bi-weekly winter...
lxarth
11-04-2014 08:37 PM
11-12-2014 10:06 AM
by WesleySnips
9 744
taking first steps...
sizemorelawncare
11-10-2014 08:24 PM
11-11-2014 01:21 PM
by Steve
1 423
Back Pack Blower
Ian Lovejoy
11-09-2014 08:41 AM
11-11-2014 08:12 AM
by Just for Cuts
4 496
Business Cards
crieg122
10-25-2014 01:03 PM
11-11-2014 07:56 AM
by Just for Cuts
12 1,452
How the unregister?
alive101
11-04-2014 07:39 AM
11-10-2014 01:48 PM
by Steve
4 700
Belt adjustment question
googus
11-05-2014 06:43 AM
11-10-2014 01:38 PM
by Steve
5 603
Podcast
Shark1611
11-07-2014 05:42 PM
11-10-2014 11:41 AM
by Steve
1 401
hi, from Minnesota
rjklohn
11-07-2014 02:21 AM
11-07-2014 01:44 PM
by Steve
1 414
New to snow plowing
SS.Lawncare
11-05-2014 04:00 PM
11-07-2014 01:21 PM
by Steve
6 684
New Member
tonyap
11-05-2014 10:35 PM
11-07-2014 01:15 PM
by Steve
1 456
» Popular Tags
4wd aerocore apartment bid apartment lawn care estimate applying bid billy goat brushcutter blades bush charge christmas deliquentaccounts ditches employee problems equipment rental estimate ferris first truck foreman georgia gopherhaul growing a lawn care business hiring how much to charge how to how to bid husqvarna hydraulic installation introduction landscape services lawn lawn care lawn care business podcast lawn care business seo lawn care business show lawn care business website lawn care business website seo lawn care seo lawn care website marketing mechanic monthly mulch mulch price new business new mower ordinance per hour charge podcast profit on employee reo running a business savannah scag v-ride search engine optimization shreaded snow plowing starting a business start up lawn care business steep lawns stihl toro trailer truck new used landscape walk behind walker won't return wood wright stander rh
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 09:13 AM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 09:13 AM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy