Can’t find a bank to give me a loan for my new LLC

[Ryan Williamson]

I started an LLC In March 2021 and I'm now in search for funding for my first deal. Since my business has no activity and no revenue yet all the banks I go to are not even considering loaning to me. I have great credit and just closed on a HELOC with $54k available to me for down payment. I need help and suggestions on getting a conventional loan or SBA loan or any loan for my investment!

[Mike S.]

Originally posted by @Matt M.:

And no need for the LLC. We got a million $ umbrella for a few dollars a month.

You don't need an umbrella policy.
You don't need an LLC.
None of them are required for real estate investment.

However both are highly recommended. They both are protecting you differently. One is absolutely not exclusive to the other.
The choice to use them is based on your risk tolerance and cost/reward ratio. I personally use both as the cost of an LLC and even the higher cost of lending to an LLC is worth many times the amount of rewards that I get from them.
For everyone making broad statements that one doesn't need an LLC, I would strongly suggest that you get more informed about the limitations of insurance and how a properly set up LLC (or sets of LLCs) is protecting you and your assets. Because when you will seriously learn about them (and not by only browsing this forum for generic information), you will definitely not make that kind of broad statements anymore. LLCs are excellent asset protection tools that have their place.

Now YOU can argue that in YOUR specific situation, YOU decided that you can live with the risks of using only an umbrella policy. Someone else in the same exact situation may even decide not to use an umbrella policy at all. But some of us will decide that an LLC is needed in the same circumstances. However, at not time can I tell YOU what YOU need. So learn about all the pro and cons of all these tools, and consult with an asset protection, real estate savvy, attorney that will guide and advise you on the proper setup for your situation.