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Richard - Bizlaw
Richard - Bizlaw, Attorney
Category: Business Law
Satisfied Customers: 9890
Experience:  30 years of corporate, litigation and international law
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I have a trucking company with a tire service as a dba. I should

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I have a trucking company with a tire service as a dba. I should have really not put them in together as they really have nothing to do with each other, it was just easier to do it that way. I am now splitting up with my ex-fiance and we are splitting up the business, the trucking company to him and the tire service to me.

Can someone please tell me what I need to do in order to be totally free of him and the trucking business? I am the president of the company. His name is XXXXX XXXXX the company yet. Can I just resign?

The trucking business is an s-corp. in the state o Florida. Thanks, LuAnn

bizlaw :

If the company is incorporated or if it is a partnership, you would take the assets that comprise the tire service business and put them in a new business. I suggest you incorporate the business and issue all the stock or if you do an LLC all the membership interests to yourself. That will make you the sole owner of the tire service business. Then you prepare a document that says all the assets that constitute the tire service business have been transferred to your company in exchange for your interest in the existing business. If the ownership is reflected in stock of a corporation, a membership interest in a LLC or a partnership interest in a partnership, that ownership interest would be transferred to your ex or back to the company in exchange for the assets transferred to your company. You would then resign from all positions in the existing company and you would both go your own separate way.


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This communication is not intended as legal advice. A local attorney should always be consulted for legal advice. No client/attorney relationship is intended or created by this communication.

Customer:

Can you explain to me what any of this would do to me tax-wise?

bizlaw :

It should not have any tax impact on you as the assets you acquire will have the same tax basis as they did in the origianl company. You should consult with an tax attorney or accountant to structure the exchange of ownership so as to avoid taxes.


If this answer is responsive to your question, please accept it. That is how we are compensated. I would also be appreciated if you provided feed back on your view of the answer. Finally, if the answer was especially helpful you can provide a bonus. If I can be of further assistance or you have other questions in the future you can ask for me and reach me at this site.


This communication is not intended as legal advice. A local attorney should always be consulted for legal advice. No client/attorney relationship is intended or created by this communication.

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