I know you need a lawyer. But what are the possible terms of the LLC? I have heard of one person who created a book selling business to buy a couple of properties, but never actually sold books. He is a book collector and he had the purchase receipts in case of an audit, but he wasn't actually making an effort to sell books.
I want to buy RE through an LLC but I don't want to pretend to be doing something I'm not. Can't RE investment be the actual purpose of the company? I'll take suggestions of books and resources as well as any advice.
2007-02-01 06:38:22 · 2 answers · asked by ddv718 2 in Business & Finance ➔ Renting & Real Estate
An LLC can be formed for any purpose. When forming the LLC the purpose is generally stated as to conduct "all lawful business in the State of ______" (or some variation thereof).
Certain types of companies (including LLCs) can be made into special or single purpose entities, but that can certainly be to hold and manage property. If you're getting into high-worth real estate (over US$5MM) your lender may require that you use a special purpose LLC to hold the property.
An LLC can be formed without a lawyer. However, in your case, I highly recommend you use lawyer.
2007-02-01 06:45:49 · answer #1 · answered by Anonymous · 1⤊ 0⤋
Anyone can become an LLC. First thing to do is apply for the name of the company. Once you get your state certificate, your are an LLC. Then all you need is deep pockets for RE purchases, tax exemption number because of resale also available through your state. good luck
2007-02-01 06:48:25 · answer #2 · answered by reynwater 7 · 0⤊ 1⤋