When funding my new LLC for flipping, should I use capital contributions or loans? I like the idea of a mix - with a smaller capital contribution being my buy-in and then a second larger amount for funding the first deal being a loan that will get paid back to me over time - over say, 5 years. I also feel like there are potential tax benefits to a loan instead of contribution/distribution. I would much rather pay tax on just the interest income rather than on a distribution of that amount, that I've already previously paid income tax on.

But, when getting funding for deals, from either hard money lenders or other lenders, will having that loan on the books create a roadblock that could make getting funding more difficult, potentially costing me deals?

Any advice or thoughts on the topic would be appreciated.