SolveDDoS.com is another Chris Niedojadlo and ServerMania shell company

[DomainBop]

The baseline should be:

1. Proof of incorporation.

I argued for this on LET once.  Ash was on the opposing team.  I think he won (although I still think the potential personal liability that a sole proprietorship brings makes it a bad choice for any business)

I would like to know who the legal entity is that I am entering into a contract with (the TOS).  If the business is owned by a sole proprietor I want to know the name of the sole proprietor and I want it stated on the TOS.

Ash may be a build 'em and flipper, but the first sentence of his TOS should be a model for any sole proprietor who posts an offer on LEB (and he is one of the only sole proprietors I've seen who actually list the name of the real legal entity...most of them just list a DBA and you're left clueless about who the real legal entity is that the papers should be sent to )

This is a legally binding contract between the purchaser and the seller/sole proprietor (Ashley Hawkridge) who may also be referred to as Virtual6 withinthe document

 

[drmike]

I think sole proprietor may have different definitions around the globe.  In the US, typically these folks incorporate as an LLC.

Anyone in business who is technically unincorporated is suicidal.  All liability applies then to you personally.  So I can sue you for your dog and your prized collection of foil.

 

[vRozenSch00n]

I think sole proprietor may have different definitions around the globe.  In the US, typically these folks incorporate as an LLC.

Anyone in business who is technically unincorporated is suicidal.  All liability applies then to you personally.  So I can sue you for your dog and your prized collection of foil.

I am curious, when an LLC business goes down in bankruptcy, can the owner be sued? Does it affect his personal assets?

 

[rds100]

That's the point of "LL" in the name, it's limited liability. At least this is how it works here.

The owner of a Limited company is responsible up to the amount of capital he owns.

A Ltd. company can be opened with 1 Euro capital. In this case the owner would be responsible up to 1 Eur.

 

[drmike]

The point of incorporation is to shield the personal assets.   So long as the people in charge of the corporation act within the law and aren't abusing the corporate "veil" to do wrong then the protection stands.

Bankruptcy depends though.  Depends on who secured the credit.  Business credit takes a long while to establish, so personal guarantees are quite normal.  Personal security of the debts.  So yes, slapping the owned of the corporation is possible if personal contractual issues/securitized personally.

 

[vRozenSch00n]

In Indonesia there is a legal entity adopted from Dutch regulation called CV (Commanditaire Vennootschap) or in English term Limited Partnership.

The entity can be solely owned or shared between to or more person. In case of bankruptcy, just like what @drmike said earlier "I can sue you for your dog and your prized collection of foil" and it affect all family members of the owner(s). 

 

[cubixcloud]

LLCs are not incorporated but rather organized. You can only incorporate a entity as a Corporation S/C, trusts and etc. If i remember correctly.


LLC have articles of oragnization, and operating agreements versus bylaws and articles of incorporation.


LLCs are shielded from many and most liabilities, however to extend credit now days it is the norm to require a personal guarantee as a requirement due to many of the prior cases of folks simply filing bankruptcy and peacing out w/o payment.


Sole Proprietorship is absolutely not the way to go. At the least you can become a single member LLC and be taxed as so filing in the US IRS 1040 Schedule C. If you have partners you can be taxed as corporation or partnership and file schedule k1 and 1120.


Last note, get general liabilty insurance bare minimum.

 

[drmike]

^--- great post @cubixcloud.

The liability insurance is something I think any real to be considered provider *should* have.  Goes along with the general bondability required in many businesses and go get business from many businesses.