The Business of Mining: Unlimited Possibilities With LLCs
January 2011 by Mark E. BattersbyOnce all of the pros and cons are considered, many miners and prospectors have discovered the so-called “Limited Liability Company” is the most profitable operating entity for their venture.
Making it even semi-permanent allows any business that spends heavily on equipment, machinery and other business property to reap large, up-front tax breaks.
The Federal Reserve just reported that inflation exceeded their 2% target for the first time in five years and the University of Michigan reported their inflationary expectations have now risen to 2.7%.
Whether to buy or lease is a question facing many small-scale operators and prospectors even as credit becomes more readily available. While there is no one correct answer that fits every mining operation or business, compared to the simplicity of buying, leasing is far more complicated and may be getting more complex.
As we have noted through the years, perhaps the most direct, single influence on the future of gold and silver is their monetary opposite—currencies in general, the US Dollar in particular.
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