Adult Film/check or cash

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Expert: - 10/6/2008


Question
hey dan, listen how does a adult company pay the actors? cash or company check, or does  the company need to start a pay roll? im not sure, and is it best to start a llc or corparation when your business is adult entertainment?

Answer
Jamel,

Your company should always pay by check, so you can ensure that appropriate taxes are paid, and there is a paper trail for auditing and bookkeeping purposes.

Most talent for start-up adult businesses are paid on a contractor basis, which means the talent is responsible for any payroll taxes, not the business.  However, in certain cases and jurisdictions, the business is responsible for paying workers' compensation insurance on behalf of the talent.

Whether to form a LLC or a corporation can depend on many factors, like the number of owners of your business, if you plan on raising capital from third parties, how you want to pay yourself, and your individual tax situation.  You may want to check out my DVD, which answers these questions, and much much more about starting any online business.  Info on that can be found at my website - www.adultwebsitelawyer.com.

Adult Film

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Dan Pepper

Expertise

Lawyer representing adult industry businesses and entertainers, and can answer questions related to:

How to start an adult film business or adult website LEGALLY.

What laws to be concerned about with getting into the adult entertainment industry.

What terms and conditions do you need on your adult website.

How to comply with 18 USC 2257 - the federal record keeping requirements.

What forms and agreements do you need for models and crew.

How to deal with copyright and trademark laws.

Before asking your question, I recommend visiting adultwebsitelawyer.com and requesting a copy of the Top 6 Considerations of Starting an Adult Entertainment Business. You may find your question answered there.

I ALSO DO NOT ANSWER QUESTIONS FROM MALES INTERESTED IN STARRING IN ADULT FILMS.

Experience

I have been practicing law since 1994, and have represented numerous businesses and entertainers in the adult entertainment industry as the managing member of Pepper Law Group, LLC, at adultwebsitelawyer.com. My firm also operates 2257Sentry, one of the industry's leading 18 USC 2257 custodian record keeping services for producers of adult content.

Organizations
Free Speech Coalition, Frequent speaker at adult industry events including the Internext Expo and Exxxotica New York; interviewed in AVN Online; regular contributor to XBiz World

Publications
XBiz World AVN Online

Education/Credentials
BA in Political Science, JD (law degree)

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