Post a new topic
    0 Replies Latest reply on Nov 14, 2008 6:07 PM by cuppacup

    Questions for C corporation and overseas partner

    cuppacup Newbie
      Hello,

      My husband and I are currently working for other companies and bringing a combined income of 250K per annum.

      Recently, I was approached for a consulting/free-lance opportunity (in a field that is unrelated to my full time job but I have the skills for). The jobs will require 20 - 30 hrs per week for a period of 6 months or so (potentially can go over for 1 year or more).

      I am thinking to enlist extra help from my brother who currently lives outside the U.S. In this case, I figure that I will work for about 10 hrs per week and him for about 20 hrs per week.

      I am thinking to form a C corporation for this contract job (as if this works out well, I might plan to pursue it full time and leave my full time job). Based on my research, this will give me the most flexibility as I can leave the profit into the corporations instead of having it paid out to me (as my husband earning puts us over the top income bracket).

      My questions are:

      1. For my brother's help, should I enlist him as the director of the company or have me as a sole owner and treat him as an outside vendor for this company (he's going to do some programming works)?

      2. I am planning to visit my brother as well to go over the project plan. Can I claim this as the board meeting or I can deduct this trip as expenses?

      Is there any special consideration for enlisting helps from overseas? I figure for consulting/services work, this should be fairly common practice.

      Greatly appreciate your pointers on this.