This Podcast Is Episode Number 0245, And It Will Be About Unique Secrets To Starting A Highly Profitable Handyman Company  Basics of Starting Your Handyman Company Sometimes it hard to know where to begin when starting any Construction Company including a Handyman Company. First Place to decide what type of contracting business do you want to start. For many contractors, the Place To Begin is to choose to be a handyman. Why do I suggest a Handyman? No one expects a Handyman to have the skills of a High-End Finish Carpenter. It will give you an opportunity to try many things. Learn how to make simple repairs. Determine what you like to do and learn the skills associated with that trade. Many states have a basic license for the Handyman. The best place to learn about starting up and operating a highly profitable Handyman Company is Dan Perry Handyman Startup. Here is a link to his online course that is only open twice a year. Get on the list. The next steps are all about Company Structure. We recommend being an S-Corp because it has several benefits over any other structure like LLC, C-Corp, and Partnership. Many Tax Accountants And Lawyers Suggest Setting Up Your Company As An LLC They like it because it is simple and cheap to set up in the beginning and they do not care how much you will be overpaying on your Income Tax! In most cases, they will set up your Handyman Company to be taxed as a Sole Proprietor, which means you will pay payroll taxes on all the net profit. In the first year in business, this might be almost nothing. The problem is that a Handyman Company Owners and Construction Contractors never go into business with the idea of NOT MAKING A PROFIT. The difference between a Not Profitable Company and a Profitable Construction Company can be a few jobs that went well and paid before the end of the year.   You cannot go back to the IRS and say – I changed my mind, and now I want to be treated as an S-Corp for this year because I made a profit. It doesn’t work that way. For an LLC – forms must be filled out early in the new year for that year and can be treated as an S-Corp every year going forward.   When a Handyman Company Owner or a Construction Contractor chooses to be an S-Corp in the beginning, then no one gets confused on what you expect. An S-Corp is always treated as an S-Corp. Just a quick heads up; Corporate Officers must take a reasonable salary (W-2 income) and the balance either as dividends or invests it in retirement accounts. It defeats the purpose to be in business if a Corporate Officer takes payroll for every dollar taken out of the company. If you want to be paid like a regular employee, then save yourself a headache and be an employee for someone else. Being in business is full of challenges, some fun, and others not so much fun. Decisions are made every day (many days it feels like every minute of every day). As the Owner, there is no one to tell you what you supposed to do or what you have to do. Of course, there are nasty letters, phone calls, or fines and penalties when do you not pay what you are supposed to pay by the due date. When choosing a name for your Handyman or Construction Company, I recommend that the Corporate Identify is more general and not an exact match to the Trade Name you may be using.  Why – because as an S-Corporation you can evolve and change what you do and keep the same Corporate Structure. We started out as Construction Contractors, at one time we were General Contractors and at some point changed to being predominately a Specialty Trade Contractor. Individual changes within that space, we worked New Construction, Remodel, Service, and Repair - all of which were slightly different.   Employees that were fantastic in New Construction did not do well in Residential Remodel projects, or Commercial Tenant Improvement (TI) Projects and Vice versa. An entirely different group of employees loved service and repair but were...