I am getting into bracket racing and I need advise on what type of company to setup. How and why did you setup your company?

Find a good accountant, they should be able to steer you in the right direction. Also check with your lawyer for info.

Hi Garner Racing,

 

First, cool logo, you look profesional already. This is Ike from IH Racing http://www.pp-spacecoast.com/ih_racing.htm and under the advice of my accountant and attorney, I run my racing business (and it is a business, a loss leader, but still a business) as an LLC.

 

An LLC is a hybrid between an S-corporation (where profits and/or losses flow thru to the individual stockholders) and a General Partnership and it affords what most racers need: favorable tax treatment and liability from mishaps on the road and on the track and limited sponsor exposure.

 

On the subject of sponsors, they like signing checks to a real company, not an individual, so you are on the right track - no pun intended ;)

 

Please get your attorney's and accountant's advice for your specific situation and good luck !!!

 

Ike