You can either loan or invest money in your company.

To loan you need a lawyer to draw up a debt contract listing terms and penalties then you loan the money to your business. The principal will not be taxed but the interest earned will be taxed on your income tax. I do not believe the loan is deductible for the company but the interest payed is.

You can also just transfer it from your personel act to your business acct under "owner equity". You can withdrawl this at any time without penalty.

The biggest difference is that in the end if the business fails by choosing the first option you can be a creditor and possibly receive a cut of the liquidation but if you are an investor then its just gone. My guess is that you are looking for the second option.

Try searching for "invest vs loan" or " funding a startup" under tax law, or business topics

Get a good accountant.

There are a lot of ways to put money in, some better than others if you ever want to get that money back OUT.

You obviously missed the memo. Emperor Obama (pbuh) said just the other day that you didn't actually build any of those businesses, you had lots of government help so I see no reason to get huffy when they help themselves to a little slice of the pie too.
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+1 to everything he said.

Start small, solo act. Take commissions, deliver instruments, save my money for growth. Add CNC equipment when possible, so as to have the ability to
speed up production by automating the repetitive and time consuming tasks. Grow further. Take on my first employee. Hope he (or she) can help to
bring in more business and/or speed up the delivery timeline. Grow as I can, how I can, when I can.


That's the idea.


I've found a workshop space that suits my needs for now. 800 square feet, air conditioned, with 3 phase power, for 500 bucks a month total cost.
That's more than twice as big as my garage and existing workshop space combined, at a rate I can afford...barely.


I've got two commissions already. I'm not even formally in business yet.


CJ

Go back and read the last paragraph of my post from a couple or three weeks ago - I knew nothing about the following at the time, but you need to check
out this link that showed up in my inbox this morning. What does Fish and Wildlife have to do with Guitar making? Ask Gibson Guitar - as I said the number one enemy of every business, something as docile and harmless as making a musical instrument can find oneself being invaded by machine toting SWAT teams.

Gibson Settlement

If that is true then the scenario is much worse than I understood it.



And, of course, this doesn't matter when the arms of some alphabet agency are potentially wielded for political purposes over some vendetta as the above example.



My suggestion for your consideration is to save your capital at the moment and operate under a sole proprietorship using this opportunity to build your samples and get a more targeted perspective on your business plan and what type of revenues you can produce, you can always incorporate at any time. It's much much much easier to entangle yourself in law than it is to untangle yourself.

Here's the issue - the vast majority of the time we are considering incorporation for tax and liability purposes and also because there is an element in which we impute legitimacy to something established by the State. For a lot of people that franchise allows them to overcome a character hurdle, an act of State creating a fictional legal person whose shoes they can step into separating themselves from their personal life. I'm not suggesting that is your case, but those two sentences cover probably the primary issues of why a small start up enterprise is considering incorporation.

When it's the former it is sold to us under the auspices of those tax advantages and liability laws protecting our assets from the evil in the world and I used to think like that; today I've come to realize through the pain of experience that its more like a carrot on a stick. The same people that grant the incorporation are the ones that create the tax and liability laws granting special favors to the franchise and our patriotism and inherit love of country is a great weapon used against us. What we don't realize, at the time of considering it, is what that does to us and the change of legal status and the concept of "rights" exercised by a living person vs a fictional one. Today, and I'll admit that I'm jaded but its not from some tin foil hat but rather repetitive experience, is that the first concern one better have is how do I protect myself from government? It may have been advantageous to contemplate protecting oneself from the thief and criminal out on the street at one time in our past, today that is no longer the case - they are a secondary or tertiary concern, the primary and number one concern is how does a person protect themselves from civil government. How can they use incorporation to harm me, and is that harm potentially more fatal than the potential risks of not incorporating?

The reality of life is that the heart is connected to property, you as a individual that doesn't plan on having employees for the foreseeable future, will be creating this property. It will be an expression of your heart and mind through your hands and the fact is the small businessman doing something like you are doing does not psychologically operate through a corporation commensurate with the legal reality established in the franchise. The reality is that the franchise can form a trap because you have to be able to separate property from your person with a very stout vertical division placing no more weight upon it for a corporation whose stock you own that you would if employed by Gibson Guitar. In other words, think long and hard about legally dividing yourself from ownership and creation of the property and then reconnecting that through stock ownership. It is NOT the same thing.

I would suggest you read the Supreme Court case entitled Hale v Henkel because it explains the legal differences between human beings and legal fictions and how the Constitution applies. Get a good understanding of this because it is, as I said earlier, much easier to entangle yourself than to untangle yourself, and in many ways it is much like tripping into a spiral of barbwire hidden in the high grass of a field. The difference is you won't know you are entangled in it until some point comes along where you attempt to sustain your heart, mind and labor of your hands with the property you created in contradiction to the law of the corporation that segregated that. If you think that will never happen to you, oh yes it will, that is the only certain thing I know you can rely upon is some usurpation, some infringement, some injustice, something that will so affront your conscience committed by civil government that you'll become outraged.

You see, what you don't know is that any forward movement in terms of that within the legal infrastructure of incorporation sinks meat hooks deeper and deeper and deeper into you and the civil government knows that, that is what they want - every small business entangled so tightly in civil laws that it frees the civil government from the restraints of the Constitution. In turn, they will come slap and spit in your face just to entice you to fight with them and its like that movie Hell Raiser once you do - all of a sudden these chains with meathooks sling out and stick into you and as your progressively pulled forward into the darkness to the face of Pinhead.