What is the best set up for Series LLC? Checking account and overall structure

[Turgut Oz]

I have talked with two different attorneys. I got opposing opinions on below and wanted to get what others know (or do) on the subject. Please note that this is for a Texas Series LLC.

1. Imagine you have a Texas Series LLC (parent) with five cells in it (children). Does each of these cell need a separate checking account for a reasonably good asset protection? One attorney said it is a must, whereas other said confidently that it is completely unnecessary. He did not oppose to it, he just thinks only the parent series LLC having one account is enough.

2. I inquired about the possibility of a two-company structure: 

A traditional LLC that is the public face of the activities (collecting rents, paying contractors, etc.) and managing the Series LLC with each property in once cell in it (in this case, Series LLC is serving as a holding role).

Again, one attorney said that would be much better than a standalone LLC and that is recommended approach, and the other said it is waste of time and money since there are some requirements from Texas Real Estate Commission, which is requiring being a licensed broker in the state to operate in the managing LLC.

So, just want to hear what other Texas investors are doing when it comes to series LLCs regarding these issues. 

Thanks

[Dave Kush]

I do have a series llc, but it's not in texas. For that reason, I'm going to skip number two. 

Regarding number one, while it may or may not be legally necessary (not sure), I think it's a good idea to have a separate account for each entity. I always operate under the principal that each entity is its own business. In the case of a successful tort against you, you might regret commingling funds in a single bank account, but I can't see how keeping them consistently separated would ever burn you, even if it is a bit less convenient.