Llc Vs Scorp/Worker's Comp

 
Thread Tools Search this Thread Display Modes
Old 11-20-2017, 10:35 PM   #1
Registered User
 
Bmore52's Avatar
 
Trade: Construction/remodeling
Join Date: Oct 2017
Location: Los angeles
Posts: 7

Llc Vs Scorp/Worker's Comp


Hi, I am currently in the process of opening a Gc company and any advice would be appreciated. What's better to use a business entity an Llc (with a scorp or other classificatopn or an S corp straight ?
What are the pros /cons? Also I'm using an rmo and I would like to know if anyone here can share their experience with applying for a license for my company.
Thirdly, is there any way to pay an unlicensed subcractor with a 1099 (and avoid paying workers comp for him) if he works for other companies?


Again any help/advice would be greatly appreciated. Thanks!
Bmore52 is offline  

Warning: The topics covered on this site include activities in which there exists the potential for serious injury or death. ContractorTalk.com DOES NOT guarantee the accuracy or completeness of any information contained on this site. Always use proper safety precaution and reference reliable outside sources before attempting any construction or remodeling task!

   

Advertisement

 

Old 11-20-2017, 10:52 PM   #2
Hair Splitter
 
TNTSERVICES's Avatar
 
Trade: General
Join Date: Aug 2010
Location: Naperville, IL
Posts: 17,212
Rewards Points: 2,618

Re: Llc Vs Scorp/Worker's Comp


Quote:
Originally Posted by Bmore52 View Post
Hi, I am currently in the process of opening a Gc company and any advice would be appreciated. What's better to use a business entity an Llc (with a scorp or other classificatopn or an S corp straight ?

I like S Corp.

What are the pros /cons?

Harder to pierce the veil.

Also I'm using an rmo and I would like to know if anyone here can share their experience with applying for a license for my company.

Sorry can't help you with that one.

Thirdly, is there any way to pay an unlicensed subcractor with a 1099 (and avoid paying workers comp for him) if he works for other companies?

Why put your company at risk? If you are going legit,
don't use illegit subs.


Again any help/advice would be greatly appreciated. Thanks!
Make sure you have enough cash to survive for a few months.

Advertisement

__________________
Tried & True on Facebook
Tried & True Website
Quote:
Originally Posted by CarpenterSFO View Post
You ask for your money frequently, and you collect it quickly, else you stop working immediately.
TNTSERVICES is online now  
Old 11-20-2017, 11:31 PM   #3
Registered User
 
Bmore52's Avatar
 
Trade: Construction/remodeling
Join Date: Oct 2017
Location: Los angeles
Posts: 7

Re: Llc Vs Scorp/Worker's Comp


I would use unlicensed because theyre cheaper but maybe it's not worth it?
Bmore52 is offline  
   
 
Old 11-20-2017, 11:32 PM   #4
Hair Splitter
 
TNTSERVICES's Avatar
 
Trade: General
Join Date: Aug 2010
Location: Naperville, IL
Posts: 17,212
Rewards Points: 2,618

Re: Llc Vs Scorp/Worker's Comp


Quote:
Originally Posted by Bmore52 View Post
I would use unlicensed because theyre cheaper but maybe it's not worth it?
Why do you need to use cheaper subs? Charge more for the real deal. If clients don't want to pay for doing it right, find clients who will.

Do you really want to pay WC for unlicensed hacks? When they get hurt, you take the hit.
__________________
Tried & True on Facebook
Tried & True Website
Quote:
Originally Posted by CarpenterSFO View Post
You ask for your money frequently, and you collect it quickly, else you stop working immediately.
TNTSERVICES is online now  
Old 11-21-2017, 09:48 AM   #5
Pro
 
kirkdc's Avatar
 
Trade: Remodeling (mostly kitch/bath)
Join Date: Feb 2017
Location: Cripple Creek. CO
Posts: 405
Rewards Points: 1,720

Re: Llc Vs Scorp/Worker's Comp


I'm S-corp, act as Prez, VP, secretary and treasurer. Tons of perks (legal tax deductions) and solid protection. It's also said less chance of s-corps being audited as compared to sole proprietor status. And I never hire help that puts me at risk. Most jobs I take I don't need a helper ...and I don't want a helper. IMO, it's the biggest pain in the ass. I do have one licensed reliable plumber and one electrician when needed.

Last edited by kirkdc; 11-21-2017 at 09:52 AM.
kirkdc is online now  
The Following User Says Thank You to kirkdc For This Useful Post:
TNTSERVICES (11-21-2017)


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes Rate This Thread
Rate This Thread:

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 Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Alternative Solutions for Worker's Comp costs vbpete88 General Discussion 0 10-25-2014 04:42 PM
Finding Workers Comp For A Small Payroll prowork Business 15 03-12-2013 03:34 PM
If the sub-contractor I hired doesn't have workmans comp Lincoln101 General Discussion 13 11-02-2012 08:36 PM
Just found out sub has no workmans comp Al Taper General Discussion 92 09-05-2012 03:35 PM

Join Now... It's Fast and FREE!

I am a professional contractor
I am a DIY Homeowner
Drywall Talk is for
PROFESSIONAL CONTRACTORS ONLY!

At DrywallTalk.com we cater exlusivly to professional contractors who make their living as a contractor. Knowing that many homeowners and DIYers are looking for a community to call home, we've created www.DIYChatroom.com DIY Chatroom is full of helpful advices and perfect for DIY homeowners.

Redirecing in 10 seconds
No Thanks
terms of service

Already Have an Account?