# For those who went with S Corp



## LjD (Nov 11, 2006)

I am going through this route and will be operating as a one man corporation. I just have some concerns. I am a college student and won't have a proper office. I will work at home. Do I file my house as the corp address? I am planning to use UPS as a return address for shipping but can I also use this as my main address of business. Which address did you put when filling for the articles of inc. Also, how do I put money in the company. When issueing stocks, the first initial funding is with stocks, right? Let's say I put $1000 to the company, I recieve 1000 shares. I own 100% of the stock. But, I will also plan on putting more money into the company. I plan on investing a portion of each of my paychecks. Does that mean I am buying more stocks. This part is most confusing to me. Please help..


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## Girlzndollz (Oct 3, 2007)

I would suggest a talk with a local accountant. They are usually very good about giving a consultation free of charge (mine was) as it is hopeful you will use them for your tax prep and other need.

Otherwise, can I ask, have you tried to find your Small Biz Developement Center? You say you are a college student. They are an excellent resource of information just like this. Mine is run out of Wilkes University and after almost 2 years, he is still giving ongoing support to my biz. They are there to help you at every turn from set up through all growth stages.

You will probably get some good advice here, but it is best to ask someone in your state that knows you tax laws and codes. GL.


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## LjD (Nov 11, 2006)

Thanks for the heads up with the small biz. There is one in a major university, do i have to be a student at that school to recieve help? which business type did you go with kelly?


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## Girlzndollz (Oct 3, 2007)

No, you don' t have to be a student, just someone opening a small biz. The first biz I am grooming has to do with negotiating car deals for folks, so that is what the small biz dev guy and I work on, the shirts came after and I am now I will ask him for help with that as well. One question I have is now with two businesses, can I keep everything under one EIN somehow. He will have answers for me on that without a doubt. 

I went with Sole Proprietor. I wanted LLC - but the reasons I wanted that for ~liability protection~ wasn't going to give me what I thought it would, being the only person involved in my biz. This info came from the SBDC fellow, Ed.

My first meeting was a group meeting (a guy wanting to open a lumber mill, and me). Ed (SBDC) was able to discuss in detail all aspects of this guys situation and in a minute, switch his hat to me and my completely different biz. He is amazing. The goal of the center is to get businesses up and running, then growing, for the economic good of your state, and the country. The objective is to help you succeed and in return, you will one day offer employment to those in your community through your success. It's a lovely plan. The services are completely free. 

Ed also sent me a connection to Zebra communications, a student based org at WU operated by the top marketing and comm students, who will work with me free of charge to develope biz cards and brouchures. For someone starting a business, I can't strongly enough recommend finding your local Small Biz Developement Center. I haven't found a single down side yet. He has given support and direction in filing forms for taxes, ficticious name, will help with biz plan and sources for financing, grants, marketing, which type of biz is best for you (SP, LLC, Inc) how to run each. Wonderful resource. They have done more, but I think by now, you have a solid idea of what you can look forward to by finding your SBDC. Sorry this is so long, but when it comes to singing their praises it's hard for me to stop, and if I can give enough reasons for someone else to find their's I will. You still have to do all the leg work, but what a way to have your own personal guidance counselor. Good luck. If you do contact yours, will you let me know how it goes?


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## Xeon (Aug 11, 2007)

Just curious, Kelly, but do you sell t-shirts? Been seeing you post quite often here.


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## Girlzndollz (Oct 3, 2007)

Xeon said:


> Just curious, Kelly, but do you sell t-shirts? Been seeing you post quite often here.


 
_I don't even own a press, but I'm faking it pretty good, huh? _


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## Xeon (Aug 11, 2007)

LOL, yeah! You sound like a executive business consultant etc.


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## Girlzndollz (Oct 3, 2007)

Xeon said:


> You sound like a executive business consultant etc.


 
_I wonder if I should start a 3rd biz....._


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## binki (Jul 16, 2006)

Talk to an accountant for an hour or 2. The price is worth it. 

Pretty much when you give your company money you are either 
a) investing (buying stock) 
b) loaning (company will pay you back with interest)

Either is ok to do and each has its own benefits and consequenses. In all cases, *DO NOT *comingle business and personal funds. Draw up loan docs if you loan the money or issue stock certs of you buy more stock. Not doing so may expose your personal assets to liability and also disqualify your company as a going concern (your business expenses are no longer deductable). 

Good luck.


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## karlking85 (Sep 26, 2007)

Girlzndollz said:


> One question I have is now with two businesses, can I keep everything under one EIN somehow.


Yes, you should be able to without any trouble. You said that you are a sole proprietor right? So all of the business transactions ultimately go through you, and assuming you hire employees, they would all be paid by your company (again, you), regardless of which business they operate under. Yeah, I think I got that right.


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## Girlzndollz (Oct 3, 2007)

Thanks, Anthony!


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## LjD (Nov 11, 2006)

binki, so everytime I deposit money to my business account, its consideed a loan and everytime it has to go in writing.


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## binki (Jul 16, 2006)

If you are talking about putting personal money into your corp then yes. Never mix personal and business funds.

If you need to put money into your business and want to do it as a loan with multiple payments, do a master agreement that spells out what you are going to do and then keep track of what you add. You must charge interest so you need to calculate that periodically.


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## Girlzndollz (Oct 3, 2007)

For this.....



LjD said:


> binki, so everytime I deposit money to my business account, its consideed a loan and everytime it has to go in writing.


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## Girlzndollz (Oct 3, 2007)

I would still suggest this.....



binki said:


> Talk to an accountant for an hour or 2. The price is worth it.


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## karlking85 (Sep 26, 2007)

I think it would be wise to speak with an accountant ANY TIME you are not positive you know what you're doing. Don't wanna be pennywise but pounds foolish.


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## LjD (Nov 11, 2006)

i understand that some questions are best answered by an accountant, but this has been buggin me and i just thought that since we have members in this forum that went with the corp route, that they could answer it.


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## Girlzndollz (Oct 3, 2007)

I think you have to watch out for differences from state to state. Maybe find that out as well.

Also, I had a half hour free conversation with an accountant here in town I was considering to use for my biz. I didn't know why she gave me a half hour on the phone - but she did. Find someone by you that will do that. I figured she considered it time spent courting me, it would be to her benefit if I came on board with her for my tax needs. 

They want your business, there will prolly be someone near you that will answer your basic questions free of charge. My call involved corp decisions, and she said she could meet with me to keep my minutes properly as required if I went corp. (She was selling herself to me, and it cost me nothing in return to have Q's answered.) Seriously, give it a try.


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## LjD (Nov 11, 2006)

thanks kelly, you been helpful. great advices. take both into consideration.


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