Real Estate Investing LLC Formation

[Damian Walker]

I'm a man that values structure and stability so eventually I would like to set up an LLC for my real estate business. ideally I'd like to have a series of LLCs - ironically called a Series LLC (du bum tss) - so I'm glad that Ohio finally acknowledges the usage of the Series LLC...but when is the best time to set all of that up?

I want to get my first wholesale deal out of the way and use the profits to setup my business structure, pay for any tools and resources that I need & want, etc.

My plan is to setup my general LLC and any SFR & MFR that I plan to purchase for would fall into separate LLCs that would be serialized into the main LLC.

I guess I'm just looking for some guidance in this arena. Let me know if my plan is on the mark or way off course.

[Lateefah Mathews]

The best time to set up your entity is now. You should not wait to have a deal on the closing table to form your LLC. With excellent planning you can utilize each "cell" or series for multiple outlets aside from holding real property.

The SLLC model is a great asset protection strategy for real estate investment if structured properly. Be sure to work with a corporate advisor who can help you understand the formalities you will need to follow so as not to pierce your companies vail. 

Proper structuring is key here.