SDIRA loan to single member LLC?

[Scott Horman]

What are the restrictions around loaning money from a SDIRA to an LLC that I am the only member of? Does it change if the LLC has multiple members? I understand that interest paid on the loan will need to go back into the SDIRA.

[Carl Fischer]

@Scott Horman

The IRA may not loan to an LLC you own 100% of, this is prohibited as you are a disqualified person to your IRA.

It does change if their are multiple members. Any disqualified person may not own 50% or more of the LLC. The structure of the LLC is very key. I would recommend you consult with an attorney who is well versed on self-directed IRA's to assist you with the set up and management of an LLC to ensure you avoid prohibited transactions

You would also need to be mindful of avoiding prohibited transactions within the dealings of the LLC.