Using personal funds to buy with LLC

[Kathleen Frankovich]

Hi Everyone. We are getting ready to make an offer on our first reo property with the intention of flipping it. We have set up an LLC and would like to make the offer through it. However, all of our funds are in personal accounts. I know that we will need to provide pof with the offer but we aren't sure we want to transfer all of the funds (about $100k) into the llc account without even knowing if the offer is accepted. How do we go about showing pof for the llc? Can we use a statement from the personal acct with the member's name on it? We have thought about opening a line of credit, getting the money, transferring it into the llc and then if the offer doesn't go through, just paying it back. We really want to make a cash offer, but if a little financing makes things easier we could go that way. Any suggestions? Thanks!

[Nicole A.]

If you want to purchase via LLC, the LLC needs the cash. You can not co-mingle your personal funds with business funds.