Simply draft a formal lease agreement between you and your company. You don't need an attorney for this. Then "lease" your personal truck to your company. But remember, you are "an individual", a separate entity... as compared to the "you" who is the President of your business, be it a corporation, an S-corp, or an LLC. Example: Scagman, an individual ..... vs. Scagman, President of ABC Lawn Service. Two completely different people, legally speaking... i.e. The Lessor and the Lessee. -- Capich?
Lease your truck to your company for a perscribed monthly amount + maintenance, tires, insurance, etc. That way it becomes a win-win for you personally and business-wise. Typically the IRS allows one car and one truck to leased to a sole propietorship type business like yours. If in doubt, double check with you accountant. They will know more than your attorney, unless your attornewy is a "tax attorney". Plus, your accountant is not as likely to send you a bill for answering the question.
PS: Whenever you are signing anything for your business always include your title after your name, i.e. "President".... especially on contracts and checks, etc. Never just sign your name as you would personally. Get in the habit of doing this at all times and it may save you if your business and you ever get sued and dragged into court.
Great answer, David
What is your background?? Go to "Profile" and share some info.
Thanks, LUCKIEST. How can we talk more directly? My address is shown under my posted name. My personal small business acquisition endevor, financial status & related alternative financing questions are very similar to those of Marti ... [from a couple weeks ago.] I posted a comment there on her thread as a reference. -- BTW, I'm new to this particular "online community" and still learning the ropes.
I am a sole operater LLC lawn care business. I use my personal truck which is in my name. My insurance rep told me because my business name is dirrerent than my personal name I have to leaseback or give my business permission to use my truck. Otherwise if I get into an accident I could have some problems. How is this done and how do I put this info in my records? Do I just right up a letter stating this? TIA