Starting an LLC In MN Guide ?

[Nick Ritter]

Hi everyone, 

Ive been scouring BP and am in no luck of finding a proper guide to start an LLC in MN. However, i was able to find this https://howtostartanllc.com/minnesota-llc#franchis... wondering if this would be a safe bet to start and LLC with the intent of Purchasing 2 or 3 properties in ? I currently do not own any real-estate yet however it should be coming very soon i have managed to raise a significant amount of money in the past year along with some potential non MLS sales coming my way.

LLC. owners/creators in MN please chime in I've read miscellaneous information on BP in regards to similar questions followed by typical answers "consult an attorney" etc. any leads to put me off in the right direction ? Is it a bad idea to setup an LLC online for overall protection in the future ?

Id also like to say thanks to the active members on here after the year of research and following some useful guides these dreams are starting to become a reality.

Thanks, Nick

[Tim Swierczek]

@Nick Ritter It's very possible you are over thinking it, but It definitely depends on if you are flipping or buy and hold. It also depends on if you will live in any of the properties you purchase. Also, do you have partners? Do you own a primary residence? These are all factors. In general, if you do not own a primary residence, you are not flipping the properties, and you do not have at least one partner then I do not believe an LLC is worth the costs. Of course, this is not legal advice and you really should consult with an attorney, CPA, and mortgage lender before you make the decision.

Just know that from a lending perspective you limit your loan options tremendously and you will increase your cost, and potentially increase your insurance costs as well.