We're three money conscience guys looking to pool our money together to increase our buying power. We're thinking about establishing an online trading account and need some advice. We're each willing to make an initial contribution of about $1500 each and continue with equal monthly contributions of a lesser amount. To prevent complications with taxes how should we colaborate our funds and satisfy all legal limitations? Should we create a business and describe ourselves as partners? Any advice would be greatly appreciated.
2006-09-22 07:44:32 · 4 answers · asked by funwithfondu 2 in Business & Finance ➔ Investing
form an LLC so that the tax liabilities pass through to the individuals. there are other reasons to consider an LLC but thats a start. Go on line (I have not done it for a long time so dont' ask me where) There is investment club info out there. Start with the federal securities and exchange commission, I'm sure they have more info.
KEEP very carefull records.
Also can I join?
2006-09-22 07:54:32 · answer #1 · answered by john d 3 · 0⤊ 0⤋
With all the options to diversify cheaply I would skip the club & the likely resulting aggravation completely. Just no where near as valuable as used to be. Etfs. Index funds. All there for small sums.
2006-09-22 11:28:55 · answer #2 · answered by vegas_iwish 5 · 0⤊ 0⤋
Check this out:
http://www.betterinvesting.org/clubs/startaclub.html
This should have all the resources you need.
2006-09-22 09:08:08 · answer #3 · answered by Allen 3 · 0⤊ 0⤋
I think its a fantastic idea.
2006-09-22 07:47:50 · answer #4 · answered by afrikanoos 2 · 0⤊ 0⤋