posted on Dec, 19 2018 @ 12:33 PM
Greetings to all business-minded ATS members and lurkers!
Okay, I am starting a new small business. It has been a very sloppy set up so far, and the project is already 2 years behind schedule, but finally
January 1, 2019, we (myself and 3 other partners) are going to officially start.
We formed a LLC (limited liability corporation) in the state of Rhode Island, USA. We have a second location in Illinois, which is where I will be
doing the business paperwork stuff, and meeting with our primary attorney. I know very little about what we can do with our LLC, and am trying to
learn the structure of that, and what it means for how we operate. We will be opening a business bank account in Rhode Island.
I will personally provide the sole source of capitol for the startup, and will be doing the books. My partners in Rhode Island are going to fabricate
and ship beauty type products (mainly) from that location over the internet, without any actual 'brick and mortar' store front. This is because the
startup location of the business is going to be in a home zoned as residential. There will not be any walk-up customers. We are selling a
product(s), and no services. All workers are set up at the start to be partners in the LLC, not employees. I am trying to make this startup as low
cost as possible, with incentive for us all to work.
The plan is to start January 1, 2019, though we have already incurred some expenses in 2018. I want to be able to write off as much of the expenses
on my own taxes as possible, and also if possible, write off my initial investment with time too. Can I retroactively use the 2018 expenses in our
2019 tax season?
The main problems: I have never done this before. I am primarily a scientist by training, and not a businessperson; so, this is waaay out of my
comfort zone. I will be doing the paperwork at a location separate from where the production and shipping will occur. I am afraid of the IRS, both
due to my ignorance of what all I might be able to write off on taxes (don't want to miss something...), and also due to my not wanting to neglect
something that will get me into any future trouble with the IRS. I have an accountant who does my taxes, and she will help to do the taxes in
addition for this business, but she is busy and won't have time to 'teach' me …. so I need to know the information I should give her beforehand,
I welcome any advice that you can give, because I am scared as heck, having anxiety, and some sleepless nights. My primary fear is fear of failure,
and that is a big phobia for me. So fellow ATS'ers - what would you tell me to do in these final days before startup, that can save me as many
headaches in the year(s)(?) to come as possible?
Thanks so much in advance for all replies - good AND bad hah