Posted on 03/07/2016 5:59:43 AM PST by AbolishCSEU
Independent consultant route?
its only hostile to white males....If you can put the nosiness in your wifes name, you just might have a chance
Don’t.
There are good books, there are some terrible books as well.
However it works out. In small business its better to have an ally than an enemy. If he has an expertise his employer doesn’t, his employer is a potential customer and/or referral source. Always best to work with than against.
Check out the Small Business Admin in your area. They are extremely helpful I am told and you get help and advise from other local small business owners.
https://www.sba.gov/tools/local-assistance
My advice is move to Georgia.
Great resources:
www.gosmallbiz.com
www.legalshield.com
His child support should not enter into the business decision. He will have that liability regardless what he decides.
The important issue is what will his capital needs be. He may well have to buy a truck and possibly an array of equipment for forming ducts and the like.
Right. He is looking into buying a used service van and he has all the tool knocker trays, pony motor, pipe benders, etc. etc.
Don’t try doing all the research yourself. There are resources out there to assist you. I’m going to use examples from my experience in my state but I’m sure there are parallels to be found in NYS. Proceed accordingly.
First, find a Small Business Development Center. (This is NOT the Small Business Administration!) Quite often, these services are associated with community colleges or four-year institutions. Arrange to meet with a counselor for a one-on-one conversation. It’s possible they offer classes to get in-depth info...enroll in the class, both of you! Grab every publication they offer. Ask for a specific list of state/county/city websites you need.
Next, consider the trades licensing department for HVAC as a resource on any licensing matters you may encounter. It’s one thing to hold an individual license, it’s quite often another to hold a license as a business or contractor. Get the details. Start at the state level, get copies of all laws and regulations that apply. Ask for any necessary license application packets. Ask for their website resources.
Next, taxes - start with the feds and state income taxes while also getting info on the lower levels, if applicable. Forms are available on their websites. Make sure the info you get from the Small Business Development people above includes comprehensive info on this aspect of business start-up. You’ll need to register as a business and get a tax permit in order to buy supplies without paying sales tax. You’ll collect sales tax when using those supplies on jobs. Usually, the service itself is not taxed, only the supplies used. Make sure you get a full understanding of the rules on this in NYS.
Next, insurance — previously mentioned by others and it can’t be repeated often enough. General and professional liability, Workers Comp, vehicle, health, etc. Find a broker you can trust and question everything. Insist on quotes and coverage summaries.
Now, you have the basic info to figure out if you really can make a living as an individual HVAC service person and how much it costs to just leave the house on a service call, let along make a dollar or two along the way. Of course, your competition has already set the going rate for services in your area. Will that amount cover the nut?
The child support complicates thing. During lean times if he misses payments he can potentially be jailed. That is not good for business. Be prepared for that. Once he pulls the trigger every bridge he ever had in HVAC is burned. There is no going back. And be ready for no days off for years to come. I have been at this current project (manufacturing) without a day off in five months. Burnout is real. Also be prepared for the emotional toll. As a business owner you are hated by the government. You are never anything more than an ATM to them.
Good lick.
We had a similar situation. I was on the hook for child support. Had an opportunity to do IT contracting for a niche market. We created an S-corp with the wife as the owner, me the employee. She did the accounting/taxes and I did the work. She also had a good paying full time job which made it easier to take the chance. We were very blessed to make enough to pay out all the child support, pay off our house/cars, and put our three kids through college. Looking back, one of the best moves I ever made.
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