Page 6 - Webinar workbook

Estimated Start Up Cost

The dump trucking industry is estimated to be worth $17 billion dollars from the years of 2012-
2017.

1. Business Establishment: Cost: $100- $1500.00
• Corporation:
i. Sole Proprietorship (DBA- Doing Business As): This is a form of business

involving one and only one owner. No special legal documents are needed
to establish a sole proprietorship and really it is not even a distinct legal
entity, separate from its owner. As a result, the owner is liable for all of the
debts and liabilities of the business, but has total control of the business. If
the business is to be conducted under a name, it is necessary to file an

assumed name certificate (sometimes referred to as a “dba”) in any county
in which the business is to be conducted.
ii. Partnership: A partnerships is a form of business entity involving two or
more owners. A partnership is not taxed as a separate entity (though it
does file an “informational” tax return) and all profits and losses “flow

through” from the partnership to the individual partners and must be
included in the individual owners’ returns.
iii. Corporation: A corporation is a separate legal entity owned by its
shareholders, managed by a board of directors, and operated by its officers.
Establishment of a corporation requires preparation and filing of Articles of

Incorporation and submission of information to various government offices.
If legal formalities are followed, the owners are not liable for the debts or
liabilities of the corporation.
iv. Limited Liability Company: A limited liability company is really not a
corporation at all, but a special entity which provides limited liability to its

owners, free transferability of interests, but tax attributes of a partnership
(that is, pass through of taxability of profits and losses to the owners and
no taxation of distributions (dividends)).

2. EIN: Employer Identification Number Cost: $FREE
• The IRS uses the EIN to identify the taxpayer. EINs must be used by business entities--
corporations, partnerships, and limited liability companies. However, most sole

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Email: truckitright2@gmail.com Website: www.truckitright.com Phone: (323) 301 6531