Question about Banks(yes, its related to porn)
 

Hi everyone. just wondering, i just started my own site 5 months ago. its doing well. have got a bunch of bookmarkers now, and i wanna start putting up sponsors on the site, and start making some money. my question is, i'de like to have the checks the sponsors send me be written out to a company, not me personally. its a complicated situation, and dont wnana get into it right now, but basically, it will save me about 20% a year in taxes, if it were written to my company, and not an individual. Do sponsors do that? will they write it out to a company, and not an individual? and do banks accept that? so if i go to my bank, and my name is lets say john smith, and the check is written out to laford enterprises, will they cash that? ide really appreciate an answer, by someone who knows. thanx much.

Sponsors of course will pay to a proper company that has an EIN number (Employer Identification Number).

HOWEVER, you can't walk into any bank and cash a check made out to a company name. The only way you can do this is by properly depositing this check that's made out to your company into a bank account that is setup for your company. In other words, John Smith can't deposit a check to his 'ABC Company' in his personal checking account... or cash it at ANY bank. All John Smith can do is deposit that check into his proper business checking account.

And, without even knowing your long story, at the end of the day you're paying taxes regardless of what you do. The simplistic advantage to running the money through your company is that it's not all taxable, you get deductions for all of your expenses (like content, hosting, etc).

Cheers!

Brad
SinEmpire

Ya, you just need to setup a bank account under your company name. Just bring in all your paperwork shows you run the business and they'll set you up with business account. and yes sponsors write checks into company names.

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Go to city hall where you live..fill out a DBA..form(doing business as form)..take this to the bank..open account..You will not need a ein if your company has no employees..the ein is Employer ID# but since your sole proprietor..

Good info has been given here, however, there are some little known facts....

You can deposit checks written to a business in your personal account through an atm and if the check is under $1000.00 a human will not see it in most cases. This does not make it right and there is a chance of a human rejecting it but over $1000.00 sends a red flag and they will not process it. You are MUCH better off to do it right and set up a business account.

Spacedog is correct about the EIN. For a sole proprietor they will use your SSN. If you want to get an EIN for tax purposes, the IRS can be a pain in the ass. You need this form: http://ftp.fedworld.gov/pub/irs-pdf/fss4.pdf I suggest checking the box that says you intend to hire employees. This will get an approval for an EIN almost every time.

Different states require different paperwork to register an Assumed Business Name or Doing Business As name. The best place to find this is with your States Corporation Division. Most states offer the forms online in PDF format.

FYI... I spent 4 years as a Trainer and Supervisor at Wells Fargo. This info is from my personal and professional experiences. If you need any assistance finding the info for your state, feel free to hit me up on ICQ. I have most of the stuff bookmarked.

Good Luck

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TD bank
Filled out a form called
"Doing Business As"
And No problems checks had a seven day hold on them from the states but that's it.
Well besides the bank girls asking what's the xxx stand for http://bbs.gofuckyourself.net/board/rolleyes.gif



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