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Updated over 8 years ago, 07/01/2016
Help with starting a real estate business entity structure
hello everyone, I'm working with a lawyer in the area to start a business structure for real estate investing (mainly for rental properties). I drew out a business structure based on my conversation with him. if you guys could look at it and give me your opinions/recommendations and How you have done it if your starting out from scratch that will be awesome!
Few Questions that came to my mind this structure:
- Would it be better to do a pass-through from LLC to INC be wiser for tax purposes or should I make the LLC as S-Corp for each property holding LLC?
- How would the salary & quarterly distributions work under the main entity being INC. rather than an LLC ? (i originally planned on having the main entity a LLC, but the attorney recommended this setup)
- any opinions on putting each rental property under a trust rather than an LLC?
I'm looking to finance most rentals that I would buy under this vehicle, would this setup hold me back in any way (not having enough business history, etc ?) I appreciate any suggestions you may have, seriously!