Categories: Business Basics

Industry Highlight: A Truck Drivers Guide to Incorporation

Dating back to the 1920’s, the truck industry has been and continues to be vital to the economic growth of the United States. Trucks were first used extensively by the military during World War I. During the 1940’s and 50’s, the industry accelerated growth due the construction of the Interstate Highway System. Throughout the later part of the century trucking became central to American commerce dominating the freight and hauling industries.

Today, the United States economy depends on trucks to deliver nearly 70 percent of all freight transported annually in the U.S., accounting for $671 billion worth of manufactured and retail goods transported by truck in the U.S. alone. Although truck driving is a highly important industry, it is also a very dangerous one. Truck driving is consistently ranked as one of the most dangerous jobs in America, as drivers are subjected to the perils of the open road. Due to the high profitability and high risk, it is a good idea for truck drivers to protect their personal assets.

Protecting your personal assets from liability in an accident is easily done through incorporation or formation of an LLC. Choosing the best entity depends on the circumstances involved such as the nature of your business and the number of owners and members. An LLC can offer you more freedom in how you manage your business. An LLC does not require the same formalities as a corporation and has certain tax advantages. A Corporation, by comparison, is taxed as a separate entity and may have an unlimited number of shareholders. Whether you choose to form an LLC or a corporation, both entities allow you to protect your personal assets, keeping them separate from your business.

When deciding where to form a company, there are many factors to consider, such as the cost of formation, tax laws, and other laws governing the actions and liabilities of the LLC or corporation within each state. In addition, consideration should be given to whether or not your business will operate in other states. Learn more about these considerations and the advantages of forming an LLC or a corporation HERE.

Deborah Sweeney

Deborah Sweeney is an advocate for protecting personal and business assets for business owners and entrepreneurs. With extensive experience in the field of corporate and intellectual property law, Deborah provides insightful commentary on the benefits of incorporation and trademark registration. Education: Deborah received her Juris Doctor and Master of Business Administration degrees from Pepperdine University, and has served as an adjunct professor at the University of West Los Angeles and San Fernando School of Law in corporate and intellectual property law. Experience: After becoming a partner at LA-based law firm, Michel & Robinson, she became an in-house attorney for MyCorporation, formerly a division in Intuit. She took the company private in 2009 and after 10 years of entrepreneurship sold the company to Deluxe Corporation. Deborah is also well-recognized for her written work online as a contributing writer with some of the top business and entrepreneurial blogging sites including Forbes, Business Insider, SCORE, and Fox Business, among others. Fun facts/Other pursuits: Originally from Southern California, Deborah enjoys spending time with her husband and two sons, Benjamin and Christopher, and practicing Pilates. Deborah believes in the importance of family and credits the entrepreneurial business model for giving her the flexibility to enjoy both a career and motherhood. Deborah, and MyCorporation, have previously been honored by the San Fernando Valley Business Journal’s List of the Valley’s Largest Women-Owned Businesses in 2012. MyCorporation received the Stevie Award for Best Women-Owned Business in 2011.