Does where I form my LLC affect my local conventional financing?

[Jeff D.]

Hello fellow BP Readers,

I'm in the process of deciding where to set up my first LLC and I'm intrigued by Texas and their Series LLC. However, I will not be making my property purchases in TX but rather GA.

I'm aware that if I open an LLC in one state and intend to do business in another, I will have to register my LLC as a foreign entity and pay the necessary fees.

My question is, if I opt for the convenience of the Texas series LLC, will it hinder my ability to obtain financing from local community banks in GA? Or would it be in my better interest to forego the convenience of the TX Series LLC options and instead register my entity in GA seeing as that's where the properties will be located?

Thanks for you help.