# New FL license, sole proprietor - should I go LLC or get Workmans Comp?



## bobmyers (Dec 21, 2010)

I'm getting a Broward Painters License in February (got a citation last year for advertising).
Should I go LLC or pay 3000 for Workmans Comp? I'm a sole proprietor without subs.

The thing is this.... I'm hoping to get social security at 62 four years from now and it may look bad to be incorporated and only be making 13000 per year as a part-time painter.

Maybe my hours of studying up for the business exam and license weren't such a great idea.


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## modterry (Nov 14, 2008)

*Workman's comp vs LLC*

I would recommend you speak with your accountant and maybe an attorney.
It might cost some $ but, should be well worth it.

Being an LLC provides you some protection of your other assets. Currently if you get sued all your assets are exposed.
Easier to show business expenses inside a company vs. your personal expenses.

As to workman's comp - business owners may elect not to be covered and it might be the same for a 1 owner LLC - look it up and see.

Best of luck

Terry


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## deftworks (Sep 24, 2009)

I too would recommend you talk to an atty & acct. I have a county license in St. Johns Co.(St. Augustine) and when I started my biz in 09 my acct. told me LLC was less paperwork as opposed to c corp or s corp. It's basically the same paperwork as sole proprieter with a schedule c profit & loss from biz at tax time. As far as Work. Comp. my insurance guy told me I couldn't even afford it unless I had 3 or 4 employess so I got the exemption.


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## deftworks (Sep 24, 2009)

Oh yeah, and as far as LLC giving you some protection from somebody wanting to sue you and get your house or whatever that might be true to a degree but if somebody really wants to get you, a good lawyer could probably find a way around that, or so I've heard.


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## Anti-wingnut (Mar 12, 2009)

The legal protection any form of incorporation that is afforded to a sole proprietor is pierceable. That does not mean it is not a good idea, but that you are not in a fortress.



> I'm hoping to get social security at 62 four years from now and it may look bad to be incorporated and only be making 13000 per year as a part-time painter.


I don't know what your concern is here


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## IanS (Sep 18, 2009)

LLc for less than $150.00 on sunbiz.org

Workers comp exemption for up to 3 business partners. $50.00 for each one. http://www.myfloridacfo.com/wc/pdf/DWC-250.pdf

pretty much a no brainer unless you plan on injuring yourself.

Social security is the same either way beacuse your boss sucks and won't pay sh....t.

Will SS be around when you retire? Hmm!

No need for atty or accountant if you know how to read and do simple math.


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## Kenm (Oct 25, 2009)

In Florida there is no connection between LLC and Workers Comp. If you are working by yourself and you and your customers are OK with the risk get a wc exeption just like IanS said.


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## JustaFramer (Jan 21, 2005)

A single member LLC is taxed as a sole proprietor. Unless you elect to be taxed as a corporation.


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## DBBII (Aug 28, 2008)

I tend to think not having Workers Comp will limit the clients you can work for. Most GC's won't use someone without WC. Smart clients (who, granted everyone here says do not exist) won't either -- it's too much liability.


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## JHC (Jun 4, 2010)

If you are a sole proprietor check with your insurance agent about a rider policy, should be enough to cover you and not break the bank. I would still LLC anyways just to cya.


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