Ask HN: What do I need to know before registering a 2 person LLC on Legal Zoom?

Re:Ask HN: What do I need to know before registering a 2 per... by dennykmiu on Sunday May 03, 2009 @08:31PM (#591636)

One thing to keep in mind of a LLC is that the annual franchise fee is not limited to $800. If you start to make money, you will need to pay a fee calculated based on the "gross" revenue, not "net" revenue (which is sales minus expenses). Also, you will need to pay self-employment tax on any money leftover.

I summarize some of the tradeoffs in the following ...

http://www.lovemytool.com/blog/2008/01/bootstrapping.html

[ Parent | on HN ]

Re:Ask HN: What do I need to know before registering a 2 per... by rksprst on Monday May 04, 2009 @03:44AM (#592092)

This $800 minimum franchise tax is only in California. Other states have other tax requirements.

FYI: You can defer that $800 payment if its your first operating year.

[ Parent | on HN ]