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Updated about 11 years ago,
LLC Capitalization on Operating Agreement
Hello BP community,
I have opened a Delaware LLC early this year where I plan on registering 3-5 rental properties I plan on acquiring in the next 5 years. It is a single member-managed LLC. My question comes from its Operating Agreement: what is the ideal (industry-standard) capitalization I should leave in my LLC to facilitate bank borrowing and shielding against veil piercing in the future? At this moment I'm considering $5,000. Is that too little? Is there a magical formula out there?
Thank you!