Hey Steve

[CATmandew]

Hey Steve or FINANCE GUY or anyone else for that matter


I am thinking of starting a small excavating business Either this summer or next spring. I have never been a business owner. Therefore I thought I should do some homework and figure out what I need to know about financing.......

I am thinking that the first thing I should do is file for an LLC to separate myself from the business (financially)..... After that, typically I would think I need to go out and get a small business loan, but the little bit of reading that I have done from some of the posts you have made leads me to believe that there is more to it than that.....


Where should I start? Tell you the truth, I am fairly new to the area that I am living in so I do not know any of the local financers. What sort of questions should I ask when I do find a financer? What do I need to know to get me the best deal?.....

Obviously your help is needed and appreciated.


Thanks

 

[Red Bank]

Last year when I got my dump truck I called my accountant first, luckily he has 15 other dump truck operators so he is experienced in the business, he set us up as a corporation, it just worked out better that way, although our horse farm is a LLC, which is what he recommended when we bought the farm. So my first suggestion is to find a good accountant that is experienced in the kind of work you plan to do. He should fill in all the missing pieces, after you are incorporated then set up the bank accounts. How much equipment are you going to need to buy, because initially I think you may have to finance them in your name since your company is "new".I think the first step should be finding an accountant to help you out. I hope you find one like mine, phone calls are free, but office visits costs, but the good news is he set up the corporation and did not charge me , neither did my lawyer

 

[CATmandew]

Thanks for the info Red

 

[John C.]

Most of the stuff you are going to have to find out on your own. I would suggest as Red Bank did getting an accountant figured out first. Check around at local community colleges to see if they have some adult education course on business. In addition to general business education you will also need to know about state taxes, industrial insurance and employment insurance.

In addition to the accountant you will need to line up an attorney and a banker if you are going to need money. A real good insurance salesman should probably be next.

It all kind of sounds pretty daunting when you first start and I think it is meant to be that way. Once you jump that hurdle, then you get the everyday junk that goes along with it.

Good Luck!

 

[CATmandew]

Thanks John...

My father in law owns his own insurance business, so that part isn't a problem. I have already gathered some info on local accountants and lawyers, but have not moved forward with the info as of yet....... I was just curious if there is any info out that that would save me a bunch of trouble. Things that you guys have been through that you found out AFTER you started your businesses.