@thecarpathian the liability contract lensrentals.com uses is good. It puts an emphasis on the lessee handling the gear with care. If the lessee is negligent and breaks something, they’d be on the hook to pay for repairs performed by a 3rd party or internally. Lessee can limit their liability by purchasing affordable insurance coverage. As far as a tax paying entity, I’d have to make some real money first, but yes if I generated income I’d form an LLC and pay taxes appropriately. Side benefit- a $14,000 DAC would then be considered a business purchase, a $14,000 tax write off to offset income from the business.
Side tangent - I truly appreciate all the feedback, you’ve made valid points that I didn’t previously consider. However, I’m not dissuaded. When I started real estate investing 10 years ago, family and friends pointed out all the things that could go wrong, but I did it anyway. “Tenants won’t pay and there’s nothing you can do about it! They’ll destroy your property! Debt is risky!” But I still pursued it. And it’s one of the best decisions of my life. It’s allowed me to retire decades early and brainstorm other hair-brained business ideas;)
Not saying this is the same as real estate (RE appreciates). But folks, you can rent virtually anything - cars, dump trailers, DJ equipment, $50k RED cinema cameras, boats, Ferraris, someone’s personal house, etc. Seems like the only thing you can’t rent is hifi gear.
