Reply - Better late then never Originally Posted by lilrascal Hi Everyone - I've been an RN for 14 years, an LPN for 6 years prior to this. My background is Home Health and Longterm Care. While in the Home Health realm, I happened upon so many older clients who could not care for their own feet, and they slipped through the system because it was their only need. I found myself taking them on during my own time because I couldn't abandon them. I got so busy, that I actually had to find another competent individual to take the clients from me so that I had time to work, etc. In hindsight, I gave away a business. This was 12-14 years ago, when it was less acceptable to do this on your own. Now I'm ready to do again, because I know I can, it's acceptable, and I'm disappointed with nursing otherwise. I live in Wisconsin. My question(s) are: Do I need to form an LLC or something similar? If I name the business something other than my name can I use my social security number or do I have to then go the Tax ID # route? Does anyone recommend just using your own name to keep it simple? Does RN have to appear in the name of the business? Is there insurance other than malpractice that is recommended? Or, is that where the LLC comes in? I'm slightly confused as you can tell. If I can just take off and not visit a lawyer that would be great, but probably not recommended. My husband has an accountant for his business, I intend to use him also. Is it necessary to sit down with him ahead of time or is tax time soon enough? Any and all information is appreciated. Lastly, do I need to inform or ask anything of the board of nursing here? Thanks to all. I look forward to hearing from you.
lilrascal in Wisconsin
lilrascal (great name, by the way):
I am truly sorry to have not responded to these questions sooner... so without further delay -->
1- Do I need to form an LLC or something similar?
It depends, on a lot, including your state rules etc what is best for you. I strongly recommend taking a business class in your area prior to setting up your business.
I took the one through the SBA (Small Business Association) through the local Chamber of Commerce. I started with the NX=Level Entrepreneur. Score (a computer based business planning support group) is mentioned here on other posts; they have an excellent reputation for support.
Among many things discussed in an Entrepreneurship Class, Business Planning is key to a successful business. Learn how to write a Business Plan and you will learn how to run your business as a business.
2- If I name the business something other than my name can I use my social security number or do I have to then go the Tax ID # route?
a. I think you need a Tax Id # or an EIN #. Everyone says this disclaimer (and for good reason) ----> Talk with your attorney and your CPA about the advantages. I say, in addition to that, take a business class that will help you to network with like minds that are ambitious like yourself, learn to think like a business, and learn how to write and act upon a Business Plan.
3- does anyone recommend just using your own name to keep it simple? Does RN have to appear in the name of the business?
No to both
4- is there insurance other than malpractice that is recommended?
I have only liability (for myself and my corporation). I am sure there are others but again, check with others when you network and an attorney.
5- or, is that where the LLC comes in?
Not sure, I have an S Corp and am incorporated in a different state then WI. My liability insurance is my one through NSO and then for my corp. through NSO.
6-. If I can just take off and not visit a lawyer that would be great, but probably not recommended.
Not recommended.
7- Is it necessary to sit down with him ahead of time or is tax time soon enough?
Sit down with him and figure out what program he/she uses for accounting. It would be nice to say have compatible programs so you can do some of your own bookkeeping and “hand him a floppy” to get your quarterly taxes done inexpensively. Planning ahead makes a big difference (another reason for taking a business class first) .
8- Lastly, do I need to inform or ask anything of the board of nursing here.
I am not familiar with WI. In two of the states I have inquired about, basically, scope of practice is first viewed as whether you can see if it is something that was taught in your basic nursing curriculum, if that answer is a no ----> then you should complete a comprehensive training program including hours of clinical experience, then you can move on to whether the task has become routine in nursing literature and in nursing practice --> then you should ask, does carrying out the skill pass the reasonable and prudent standard for nursing (?), is it in the hiring agency policy and procedure manual (?) (hmmmmm… another reason to have your own business to write your own policy and procedure manual) --- if the answer is a yes, then the task is within your scope of practice…
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I hope this helps you. I am sure you can tell by now what an advocate I am for learning the Business Process and Business Planning. All of the resources I used initially for advice: the Attorney, the accoutant, the business two business consultants, and the CPA, were all FREE. What more could I ask for? Was it "easy" ... no... kind of a lot of work but worth every minute of time I invested.
It is truly wonderful to have this forum (thank you Brian) to discuss these issues and to truly support one another. I may not answer all queries posted here nor can I promise to be timely or to know it all. I am dedicated to the goal of independence in the nursing profession. Come along with me on this journey that is challenging, rewarding, and the future of nursing. We gain so much from the knowledge we give and get from the support on the forum.
night
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