If I gain a company saloon, do I HAVE to bring back commercial insurance?
We are going to be trading in out personal car to win one to use for our small business. It will be used for both personal and business means (like the other one), except the business will be footing the bill (already taked to our accountant and all systems are step!).
What makes it a business venture is we are getting a FULL coup¨¦ wrap with advertising for the company on it (talk roughly speaking a rolling billboard). Much better than those small magnetic signs that are hard to read.
I started looking around and found commercial insurance is WAY more expensive than personal. We are the solely ones going to be driving it, we won't carry clients in it, we won't hold any equipment in the car, so its only like the old vehicle. So do you think I would need commercial insurance or personal?
Answers:
You should have commercial insurance because you are going to advertising on the saloon. If you just used a regular old vehicle for business, no one would know.
If you get into an stroke of luck, your insurance could say they are not going to cover you because it was used as a business vehicle. All they own to do is look at the vehicle for the proof.
Keep looking for insurance. We were able to obtain insurance from State farm that is pretty cheap. It surprised us, that their commercial rates be better than the personal.
check with you insurance agent..if you title the coup¨¦ in your company's name.. probably yes.. you will be putting the corporation's assets at risk if you do not bring back the proper insurance.
Depending on what character of corporation your set up as may dictate how you can use your deductions, but with that aside, no you don't hold to get commercial insurance. From what I've been told from someone surrounded by your shoes is that if you don't need a special license class to drive the vehicle, you don't need it. If you bring back commercial insurance though (personal insurance too), you should be able to deduct the cost through and use business pre-tax dollars to pay envelope for it so your actual cost is much lower than it first appears. I hope your are having the business buy the car too instead of your after due income.
Ask your CPA for exact deductions rules for your corporation.
If the car is titled surrounded by the company name, yes, if you want to protect your assets. In your name, up to you.
Registration for plates doesn't situation.
deductions have their price.
your accountant can report you whats required, or your insurance agent.
if not, fire them.
the company should be paying the insurance. Not you.
Related Questions:
What makes it a business venture is we are getting a FULL coup¨¦ wrap with advertising for the company on it (talk roughly speaking a rolling billboard). Much better than those small magnetic signs that are hard to read.
I started looking around and found commercial insurance is WAY more expensive than personal. We are the solely ones going to be driving it, we won't carry clients in it, we won't hold any equipment in the car, so its only like the old vehicle. So do you think I would need commercial insurance or personal?
Answers:
You should have commercial insurance because you are going to advertising on the saloon. If you just used a regular old vehicle for business, no one would know.
If you get into an stroke of luck, your insurance could say they are not going to cover you because it was used as a business vehicle. All they own to do is look at the vehicle for the proof.
Keep looking for insurance. We were able to obtain insurance from State farm that is pretty cheap. It surprised us, that their commercial rates be better than the personal.
check with you insurance agent..if you title the coup¨¦ in your company's name.. probably yes.. you will be putting the corporation's assets at risk if you do not bring back the proper insurance.
Depending on what character of corporation your set up as may dictate how you can use your deductions, but with that aside, no you don't hold to get commercial insurance. From what I've been told from someone surrounded by your shoes is that if you don't need a special license class to drive the vehicle, you don't need it. If you bring back commercial insurance though (personal insurance too), you should be able to deduct the cost through and use business pre-tax dollars to pay envelope for it so your actual cost is much lower than it first appears. I hope your are having the business buy the car too instead of your after due income.
Ask your CPA for exact deductions rules for your corporation.
If the car is titled surrounded by the company name, yes, if you want to protect your assets. In your name, up to you.
Registration for plates doesn't situation.
deductions have their price.
your accountant can report you whats required, or your insurance agent.
if not, fire them.
the company should be paying the insurance. Not you.
Related Questions: