building and selling computers?

[DDRFREAK1030]

is it illegal if I "a 16 yr old kid" builds and sells computers? is there any fine or thing like this .

do i need a licence of sorts

[Mr. Elmo]

not to be mean or rude....but wow O.O

[manker]

is it illegal if I "a 16 yr old kid" builds and sells computers? is there any fine or thing like this .

do i need a licence of sorts
Yeah, it's legal. Technically you need to register as self-employed and pay tax on any profit but ehhh ... No-one is going to hassle you about that.

I'm talking from a UK perspective, btw. It is likely to be similar in the US but I wouldn't know the specifics.

[DDRFREAK1030]

what do you mean "wow"?

is that im a teen trying to make money, or, that this will be too time consuming for a high school kid like meeh.

i have been doing this for only 2 weeks and have already sold 2 computers but i only make about $200 profit per computer.

it depends what they want then i buy the parts then build it
^_^
this seems like a good thing for meeh but i need to know if this is legal that way i don't get in any kind of trouble.

my grandma told meeh to stop selling cd's(piracy) because she saw on the news that too many people are getting caught.

I am doing my senior project on piracy(project required to graduate h.s.)
to learn the diferent punishments of it(even thogh i still dl files)=p

is this a good way of making money???
o yea, im in america. just in case laws are different elsewhere

im at shool still so i gotta bouce

aite

payce

edit: o shit while i was typing this you posted above

[Comic_Peddler]

Soapbox: STOP SELLING PIRATED CD'S!! THIS IS FILESHARING!!

Ok, enough of that.

Since you are 16, you can not get any kind of business license as a minor can not sign a binding legal document. But you don't really need one at this point since you obviously can not do this on a bigger scale.

But you do need to go ahead and pay your taxes on profits earned in this manner. You don't need to go to the extent of itemizing and such, your a kid. Just a simple 1040EZ will do (just make sure you give keep a copy of all reciepts just in case any tax auditor decides to look a little closer into your income).

The reason I am suggesting you do this is because if someone for whatever reason decides when tax time rolls around that they want to use this computer as a tax rightoff, you can get in some serious trouble if you do not claim their payment. You do not want to get on the IRS's bad side this young in life, as if you want to go to college, it can effect your possiblity of getting any kind of loans or grants.

[DDRFREAK1030]

Soapbox: STOP SELLING PIRATED CD'S!! THIS IS FILESHARING!!

i said i dont do that anymore
i knoe thats wrong and punishble by a big low fine thing like that
lol
um buying a computer is tax writeoff?

really?

what does that mean?
lol
um ok but i am doing this to make money for rent

(not for drugs like some might think)

shit my friend made a contract of sorts but since we are minors it won't be legal?

that sucks in its own way . i sell mainly to teens like meeh or people in college

^_^- good business lol

aite got to go

payce

[Comic_Peddler]

The purchase of a computer can indeed be a tax write off. Someone may simply claim it is for business purposes. A college student can easily write it off as education expenses.

[DDRFREAK1030]

o really? i did not knoe that?

could i buy a computer from myself and do that???

jk

um anything like precaoutions i should take when im doing this because this is takes up like about 2 or 3 days a week to do

i have a business card and everything
lol
but also what are some thing i should avoid and some tips i should consider

im still at school and for some reason i never come to this site when im at home.
lol
so imma go
payce

[Vargas]

as long as you have ppl willing to buy them, hell yeah.

[DDRFREAK1030]

money money i need money

greed greed greed

nah jk

but if you think about it

i do this in a small only some people knoe and they spread the word.

i buy the parts the way that i always have enough to build 1 computer immediatly

except for gfx card

that shit codt too much$$$

[tesco]

Should be fine as long as you do it to people in your neighborhood or whatever. if you start providing hundreads of computers a month then i think you will have to get a license.

but remember people can get really mad if you screw stuff up and sue you so...

[Virtualbody1234]

Good for you. Go for it!

I would even suggest you take some courses about entrepreneurship and business.

You may even find support programs to start your business. Ask at school.

[DDRFREAK1030]

my school is too poor

lol

it is me and a bunch of friends who do this

there are now 7 of us here in stockton california(where i live)

i am the group "leader" syk0bunnie

the money made is our "insurance" of sorts

we buy cheap as in inexpensive but good and new quality computer parts

the only thing we suck at choosing is a monitor, we usually use thrift monitors tho becaue they are so heavy and dont wanna receive them in the mail.

a business hmm.... good idea

computers are the future


this is messed up but here is a "contract" i made

keep in mind english is not my subject and it is not worded right

Computer Purchase Contract


You have chosen to purchase a computer put together by _______________ with computer parts bought with the money supplied by you. We are all experienced in the field of computers in our own way but we all know how to put together and troubleshoot a PC computer. By signing this, you agree to the terms of:
<sum> You have to pay all the money upfront so that when you order it so we can
order the parts online.
<sum> Agree that it will take 2 to 10 weeks depending on how long it takes for us to
receive or find the parts. We will notify you when we have received them.
<sum> Tell us at least 1 way we can contact you
<sum> You cannot cancel your order once you’ve ordered it, but you can add additional items to your computer for an additional fee (same charges apply).

Parts Price Parts Price

__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______
__________________ ______ __________________ ______


_________________________ _________________________
Buyers signature Sellers Signature

Contact: ( )- - Contact: ( )- -
AIM: AIM:
Yahoo: Yahoo:
ICQ: ICQ:
MSN: MSN:
E-mail: Email:



Syk0bunnie©2004

could i charge sales tax? in cali here i thinkits 7.75%

[tesco]

You can charge sales tax but it would be illegal for you to keep that money lol.


your document needs a lot of rewording too. take out that the parts are ordered online and ither stuff that may make the customer think you're just a bunch of stupid kids.

[DDRFREAK1030]

ok thanks for the tips

any more???

im trying to make it perfect

[Spicker]

OMG!!! u make 200$ each computer????

i built 2 computers this summer and only made $75CDN Each computer :o :(

anyways good luck...btw where do u get ur parts from? are they wholesale prices?

[HeavyMetalParkingLot]

To charge tax, you must have a license to charge tax. You do not keep this money, it is handed over to your local tax office.

[JunkBarMan]

1 other thing, I did a little bit of sales as a career for 2 years, and as a law there is a 3 day cancellation period on any "sales contract". I live in Michigan and that is the law here; I don't know what the laws may be in California.
I would just look into the finer details of that contract with someone whos in the know, and tune it up at that point.
Only a suggestion, but like the others are saying: just cover your a$$.
Sounds like you have a good deal going on there, Keep it up man.

One other thought, to make then think twice about canceling you can add things like restocking fees, cancellation fees, yada yada.

[silent h3ro]

1 other thing, I did a little bit of sales as a career for 2 years, and as a law there is a 3 day cancellation period on any "sales contract". I live in Michigan and that is the law here; I don't know what the laws may be in California.
I would just look into the finer details of that contract with someone whos in the know, and tune it up at that point.
Only a suggestion, but like the others are saying: just cover your a$$.
Sounds like you have a good deal going on there, Keep it up man.

One other thought, to make then think twice about canceling you can add things like restocking fees, cancellation fees, yada yada.Where in Michigan do u live? I live in Michigan too. :)

[Virtualbody1234]

You can charge sales tax but it would be illegal for you to keep that money lol.


your document needs a lot of rewording too. take out that the parts are ordered online and ither stuff that may make the customer think you're just a bunch of stupid kids.Exactly. There is absolutly no reason to mention where you get your parts. That is your business. As long as you get then from a legal source then there is no reason to tell your clients where you get them. You don't want to tell them how they can get them directly, bypassing you, do you?

[DDRFREAK1030]

okay

so
1.i wont charge tax
2. ill make it a 3 day canellation(72 hr?) oeriod
3.take out the online part
4.kill all my competion(jk) um nothing else really

um okay some good ideas

thanks for the input

im actually at home ^_^

ill fix the document rite now

aite
payce

[peat moss]

Good luck ,great idea. Mabye a word of advice, stick to new computer sales.Don't get trapped in to the service and repair end of the business. Unless it's for warranty purposes. You'll end up spending hours trying to figure out why that Computer won't boot . :)

[Virtualbody1234]

Good luck ,great idea. Mabye a word of advice, stick to new computer sales.Don't get trapped in to the service and repair end of the business. Unless it's for warranty purposes. You'll end up spending hours trying to figure out why that Computer won't boot . :)I disagree. There is lots of money to be made with service of older machines. When people know you for doing good work to fix their machine then they come back to you when they need to upgrade or want a new PC.

[DDRFREAK1030]

the only thing i am worried about is when i start up a business, comps will be different when years pass. like recently i guess

[Vargas]

i have one lady who keeps deleting her desktop :p

[peat moss]

i have one lady who keeps deleting her desktop :p


Return customer? :lol:

[Virtualbody1234]

the only thing i am worried about is when i start up a business, comps will be different when years pass. like recently i guessDon't let that worry you. Once you get involved with these things you'll see new technology as it come along. Trust yourself and you'll keep up without a problem.

[peat moss]

the only thing i am worried about is when i start up a business, comps will be different when years pass. like recently i guess



Go slow keep it fun! Whats the name of your Company ? :)

[Virtualbody1234]

i have one lady who keeps deleting her desktop :pI had one customer drag and drop his system folder into the temp folder. :blink:

[tesco]

I can just imagine if i was to open a computer shop like I used to want to.
Probably name it like "rossco_2007 computers" or something. :lol:

vb what's the name of yours?

[peat moss]

I can just imagine if i was to open a computer shop like I used to want to.
Probably name it like "rossco_2007 computers" or something. :lol:

vb what's the name of yours?


Ya I'm thinking DDR FREAK wont cut it! :) JK

[tesco]

Ya I'm thinking DDR FREAK wont cut it! :) JK
Double Data Rate!! i liek that name.

too bad that's not what it stands for. :shifty:

[Spicker]

im thinking sinse my name is Jay..

so how about Jay-peg computers...get it? jpeg :) lol im smrt

[peat moss]

I always liked the Computer Doctor . :) Probably a few copywrite problems there tho.

[tesco]

im thinking sinse my name is Jay..

so how about Jay-peg computers...get it? jpeg :) lol im smrt
If you become a graphics artist guy that would be kool!

or marry someone named peg\peggy (although that has nothing to do with computers).

@peat, already taken :( (http://www.thecomputerdoctor.co.uk/)

[peat moss]

im thinking sinse my name is Jay..

so how about Jay-peg computers...get it? jpeg :) lol im smrt


Perfect! :01: Whats a company without a name right? ;)

[Spicker]

k so all i want to know is where can i get wholesale prices for parts...i dont want to go to another store and get the parts.... :lol:



btw whats the best advertising method :01:

[tesco]

btw whats the best advertising method :01:
banners in your sig. :lol:


no seriously flyers would be good. staple them all over toronto or something and you'll get business. :cool:

[peat moss]

k so all i want to know is where can i get wholesale prices for parts...i dont want to go to another store and get the parts.... :lol:



btw whats the best advertising method :01:



Word of mouth !And do good work.Advertiseing is expensive .

[Spicker]

also anyone know how to get lazyness out of themselves???

i have been thinking of making a list of computers and putting down prices and parts etc. then make flyers but i have just been soo lazy....

anyone wana make them for me..

the parts i buy my stuff from is..

www.liata.com
www.canadacomputers.com
www.factorydirect.ca
www.computerlinksystems.ca (or is it .com) cant remember
anyone wana make some computer lists for me :P :P

also how many should i make? how should i name them (ex. gaming,office?)

[tesco]

I'd call them gaming and office like you said...or home and gamer or something like that.


to get rid of laziness just start making the flyers then you'll get into it and ideas will come into your head (always happens to me).

[peat moss]

I'd call them gaming and office like you said...or home and gamer or something like that.


to get rid of laziness just start making the flyers then you'll get into it and ideas will come into your head (always happens to me).



Have three ,throw Budget in there too , people are funny ,always looking for a deal! :lol:

[DDRFREAK1030]

im thinking about xpress computers

[Vargas]

if you use your real name as your company name you don't need to do a DBA (doing buisness as) thing in the classifides, and you don't need to file with the courts.
food for thought...

[clocker]

From personal experience....

You really don't need a "company name" or a permanent ad yet...keep it low key and operate by word of mouth until you figure out how it's going to work out.
Business cards are a cheap investment, but don't tie yourself into any long-term commitments until you know how it goes.

As I work in a computer store and have access to several wholesale vendor sites, I can tell you that the absolute best place to get your parts is probably Newegg.
They have no minimum order, they carry the newest cool parts and their shipping is very reasonable.
The prices are LOWER than many of my supposed "wholesale" vendors and I use them alot.

If you keep your markup reasonable on parts ( say 15% or so ) and charge a reasonable fee for the labor you'll be fine.
Beware the fatal trap of using pirated MS products...they WILL come after you and if not, your customer will run into problems down the road if they lack a valid license for their OS...we see this on a daily basis.

Good luck.

[DDRFREAK1030]

nothing i will ude for customers will be "pirated" but for my own stuff i wouldnt care

yea i knoe that is like licencing issues against piracy.(i said i was doin a project on it^_^)

[Spicker]

u see the problem with canadians is that u have to pay tax when u buy the parts...and then it gets all messed :(

[freak]

Dude just sell them... U don't have to worry about a licenses or taxes...

[DDRFREAK1030]

ye that tru but lyke iono. the hing is what if they want to write it off on their taxes?

shit man lol

this week was bad
no sales =(

o well i gotta do hw then

aite
peace

[peat moss]

ye that tru but lyke iono. the hing is what if they want to write it off on their taxes?

shit man lol

this week was bad
no sales =(

o well i gotta do hw then

aite
peace


No sales this week? Mabye two next week! Be thankfull you have no overhead ,like rent or hydro . :)

[DDRFREAK1030]

lol yea tru.

um i am wondering who else here does this or have wanted to try this?

[clocker]

I do and I suspect that VB does also.

[johannes001]

Ive done it in scotland as a sorta neighbourhood thing in scotland (im under 16) but now i gotta job wi a larger company (i still got high school for 2 years tehe lol).
I did a lot of servicing stuff and repair on computers b4 though and you'll be surprised how effective word of mouth is esspecially when ur compition prices are so high and with no overhead and get paid in *cough* cash *cough* where you dont need to worry how much money you have to role in ! theres alot money to be made!!

JoHaN

[orcutt989]

To charge tax, you must have a license to charge tax. You do not keep this money, it is handed over to your local tax office.

Haha, or not. :rolleyes:

[DDRFREAK1030]

lol

business this week was okay i guess

2 comps sold

i only made $300 for myself

still okay tho ^_^

[keyser_soze]

At your age m8 theres a lot worse you could be doing, if my kids only fault was nipping the tax man for a few quid that would make me so proud :D

[DDRFREAK1030]

daym im sad now

i gotta stop this and finish my senior project first.

im sad now cause i gotta put this off until the beginning of 2005 :(

[Mïcrösöül°V³]

yea, you sound like you got a pretty good thing going. I considered it, but it seems all i ever get are repairs (like the 6 computers sitting here on my floor). I dont charge them cuz they are all friends and such. I am a mechanic, and i do the same for their cars. although i do get beer out of it sometimes.

[DDRFREAK1030]

i did that for a while but then some of my friends me so i stole from them and mess up some shit on their comps

Repairs are good way of making money too but keep in miond howw much time you put into it so you should have charged them. my friend chrged meeh when i didnt know shit bout computers(last year ^_^) i learned fast but still its the idea. i had to do like 23 repairs on wednesday last week also. i made $230 because it took up my whole day(i didnt even do my homework) \
takes u ptoomuch time

[peat moss]

I think I advised about that problem in an early post . :)



Quote:
Good luck ,great idea. Mabye a word of advice, stick to new computer sales.Don't get trapped in to the service and repair end of the business. Unless it's for warranty purposes. You'll end up spending hours trying to figure out why that Computer won't boot .

Edit: Please don't be put off by my comments ! But you have school work and a social life too! You have to juggle it all. What your doing is great, keeps one out of trouble and you make new friends . Young and old! :D

[DDRFREAK1030]

yup thtats tru
also i get to see some people i hav not talk too since middle school
^_^
im happie
jk
um like i have another sale today but i transfered it to my friend -_-

[peat moss]

yup thtats tru
also i get to see some people i hav not talk too since middle school
^_^
im happie
jk
um like i have another sale today but i transfered it to my friend -_-


Good let him pay the tax! JK :lol:

Edit: Mabey check out some advanced computer courses . You'll need to stay on top things ! It would be fun and informitive . Have you applyed for work at the local white box computer store ? They won't pay much , but probably a great weekend job? Learn as you go. :) See how they do it. You sound smart, they would jump at the chance for some part time help.

[DDRFREAK1030]

i work at jak in da box rite now so im coo there cause i get food

imms go to delta(a community college) next year and take some business and computer classes they have there

you have to keep learnind about computers and shit cuse like they vloved from like 4.77mhz to some shit near 4ghz( not there yet but soon )

it keeps chaninging

i remember my friend asked me last week to fix his old 386. im all like why?

hes all cause i dont know

i didnt know how either cause its so different.

aite gotta go(still in school)

peace

[DDRFREAK1030]

heres what i made in the 2 1/2 weeks i did the selling( i stopped til '05 remember-_-)

#-------------Sold for ---i made $'s

Computer1-$800-------- (140)
Computer2-$746 --------- (110)
Computer3-$650 --------- (70)
Computer4-$609 ---------- (90)
Computer5-$780 ---------- (98)
Computer6-$905 ---------- (190)
Computer7-$890 ----------- (97)
Computer8-$807------------- (80)