thatdoggJake
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- Joined
- Dec 21, 2009
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recap: to purchase the herd of 60 and lease the 500 acres they are currently on.
Now that I am thinking about moving forwad to try to put a final deal together, how should I handle my money? I searched google and talked to a few local cowboys in the area, but I don't really think I am getting the best answers (aka I don't know how some people 'aren't' deep in with the IRS). My first option that I play in my mind would be to set up a seperate checking account for my cattle venture. This way I could keep all my money going out and all my money going in together. Also I figured if I had to pay for something cattle related and I forgot my checks for that account I could just pay another way and then pay myself back from that checking account (is that allowed???). My second thought would be to set up a LLC, but I have no idea if there are any advantages or disadvantages to this.
How are most doing it these days with a setup like I am looking at? I want to play by the rules and do it right.
Would I get to take a loss the first year since I purchased the cattle in the first year or is that not considered an expense you could right off? I probably need to get some help from a CPA with cattle knowledge but I figured I would pick the minds of you guys first : )
Thanks
Now that I am thinking about moving forwad to try to put a final deal together, how should I handle my money? I searched google and talked to a few local cowboys in the area, but I don't really think I am getting the best answers (aka I don't know how some people 'aren't' deep in with the IRS). My first option that I play in my mind would be to set up a seperate checking account for my cattle venture. This way I could keep all my money going out and all my money going in together. Also I figured if I had to pay for something cattle related and I forgot my checks for that account I could just pay another way and then pay myself back from that checking account (is that allowed???). My second thought would be to set up a LLC, but I have no idea if there are any advantages or disadvantages to this.
How are most doing it these days with a setup like I am looking at? I want to play by the rules and do it right.
Would I get to take a loss the first year since I purchased the cattle in the first year or is that not considered an expense you could right off? I probably need to get some help from a CPA with cattle knowledge but I figured I would pick the minds of you guys first : )
Thanks