Some crazy questions.....

Flavel · #1 (**permalink**) 12-17-2007, 05:24 PM

Wow, I love this forum.

First, I would like to thank those of you who have answered my questions in the past. The people from this forum are helpful and kind.

History:
I am definately going to use SBI to create my website (Thanks Lisa for the great info). I know with hard work and time you can make money from Google Adsense, Affiliate Programs and Referals. In addition to that income, on one of the sites I will create this year, I will be able to generate extra income by providing a service to businesses. More than likely, have the business send me a check instead of doing pay-pal, visa ...etc. At this time, I will not offer any products on my sites.

I went to my city/county business offices and obtained the business licenses for my area, which will only run me about 42 bucks a year.

Questions:

1. Should I keep my sites as sole-proprietor? Then, should I incorporate if the businesses take off? Only reason I am thinking about corporations is because I have plans for 5 sites and I thought it would be easier if I was able to label each of the .com names under the corporation's business name.

2. When receiving payments from businesses, should I have them make the checks out to me personally, since I am not incorporated?

3. For those of you who own multiple sites, what advice would you give to those just starting out, including legal, taxes and tradmark/copyright info?

Hopefully, the questions I have asked will help others also. I would like to thank you for taking the time to read and respond to this thread.

lisa · #2 (**permalink**) 12-17-2007, 05:48 PM

Hi Flavel,

Glad you've found the forum helpful. Now to your questions...

I would stick to a sole proprietorship until things start taking off. Then when your income becomes steady you may want to look into getting a business license, etc. The reason I say that is that even though you get some tax write-offs being a corporation you are also responsible for sending up a certain percentage of your taxes to the IRS on a quarterly basis (I believe).

I am still operating as an individual and checks are paid out to my first and last name even though I have multiple sites. My tax advisor says it's fine as long as I report everything and haven't had any problems. Been doing it this way since 1998 and no issues thus far. You don't have to become incorporated or get a business license. It's totally up to you.

James · #3 (**permalink**) 12-17-2007, 07:18 PM

Here are a few points. Each relates somewhat to all the questions so I will not list them according to the questions themselves.

1. If the only reason for incorporation is the variety of sites then you have no reason. Incorporation is a financial decision that concerns issues like liability and taxes.

2. You likely need only one business, as Lisa is one business called Lisa, even though she has sites on different topics. One reason I chose my domain (Dreamhost) is because it offers unlimited domains in their hosting plan. I have six domains registered now on a variety of topics and may have more, but I doubt seriously I will ever incorporate either unless someone can prove to me how it would improve my bottom line. (Ask yourself, when was the last time you asked a business operator whether he/she was incorporated before buying from them?

3. About checks. If you have checks made out to a business name (or carry out any serious business activities using a business name) you do need to apply for a "fictitious name" from your state. You do not need to incorporate.

4. One of the best things I can recommend to help you cover a lot of the important business issues is to suggest that you contact your state business development people. They will provide you with all the basic information. The Department of Employment and Economic Development in my state (Minnesota) publishes "A Guide to Starting a Business in Minnesota" that is available free of charge. It deals with all the issues you raise specifically oriented to our state.

5. IMPORTANT. If you are going with SBI, above all else make sure you do it going to them through Lisa's web page link. She is one hard working woman doing a great job helping us all become more successful. Be sure she gets some tangible feedback (our kind words may be worth something but everyone appreciates a little cash, too).

Flavel · #4 (**permalink**) 12-17-2007, 10:54 PM

Thanks so much Lisa and James for the replies.

James, your advice on the checks was the answer I was hoping for. I tried to call my state's dept today but since it is close to Christmans, they blew me off. Also, when I go w/SBI, I am definately going through Lisa's site. She has been wonderful to me and really has taken the time to answer all of my questions. I really appreciate it.

I am looking to make the SBI purchase in January of Feb. I wanted to get in on that great deal from SBI but I have to reserve my money this month for Christmas presents. However, Lisa, I will post in the SBI forum the day before I buy it to let you know so you can reply to my thread with your referal key. Meanwhile, I am reading all the books I can. I saved most of my content for the site that I will develop on Word. I still have question about posting pics on SBI but will wait to cross that bridge when I come to it

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Happy Holidays

lisa · #5 (**permalink**) 12-17-2007, 11:57 PM

Thanks so much James and Flavel for the support. I certainly appreciate it. I enjoy helping and want everyone here to succeed. There's enough dough out here for all of us!

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