Repossession companies recoup assets for the government, loan offices, banks and other companies from people and companies who have reneged on their loan, debt, mortgages and other payments or financial obligations. Repossession in Wisconsin is guided by Act 255. This provides for proper notification of the client by the merchant concerned, customer to notify the merchant to proceed to court if he feels no defaulting on their part among other information. This act also requires the merchant to notify the local agency of law enforcement of the same.
Things You Will NeedBusiness plan
Step 1Determine the best business setup that will prove to be viable for your repossession business. Sole proprietorship is easy to set up and all the proceeds go to the personal tax returns of the owner. It is easy to dissolve. This type of setup has unlimited liability which means that they are responsible legally for all their debts and faces challenges as concerns raising of capital. Partnerships on the other hand are easy to set up and do not face financial constraints as such. There is sharing of profits, they are also prone to disagreements and the partners are fully liable for the other partners' actions. Limited Liability Companies (LLC's) have limited liability and can access a lot of funds at a go. They are prone to higher taxes and they have a lot of regulations to comply with.
Step 2Visit the Corporate Registration Information System (CRIS)and carry out a name search for your organization. The Department of Financial Institutions (DFI)in Wisconsin will help you in the registration of your business name especially if it is a Limited Liability Corporation. For sole proprietorship, you can apply for a DBA (Doing Business As) which will allow you to use another name which is fictitious apart from your name.
Department of Financial Institutions
Step 3Obtain a federal tax ID if you are going to be an employer. The U.S. Internal Revenue Service gives each employer an Employer Identification Number (EIN). You can also acquire a business license from the Wisconsin Department of Transportation if you plan to repossess vehicles.
U.S. Internal Revenue Service
Wisconsin Department of Transportation
P.O. Box 7911
4802 Sheboygan Ave.
Madison, WI 53707-7911
Step 4Obtain tax registration with Wisconsin Department of Revenue and any other business licenses and permits.
Contact them through the contacts below:
Wisconsin Department of Revenue
Customer Service Bureau Mail Stop 5-77
P.O. Box 8949 Madison,
Phone: 608-261-5338 Fax: 608-267-1030. Array