Selling Share of LLC that is owned by a SDIRA?

[Daniel Dietz]

Hello All,

We currently have a 3-way LLC (3-D Property Investments) with each share being owned by our SDIRAs. One party is 'retirement age' and would like to sell their share that would be bought by a new partner using a SDIRA or Solo401K. Is there any problem with selling that 33.33% share when it is held by a SDIRA and the new owner would also use some type of 'qualified plan'? This new owner is not dis-qualified to either of the remaining partners in any way.

Two out of those three parties (me included) are working on setting up a NEW LLC (if needed - let's call it 3-S Property Investments) that would be 3-ways also, including the same party that would buy out the one share of the first LLC mentioned above. We are planning on using Solo401k accounts this time due to the tax benefits when borrowing and higher contribution limits.

Do we need a new LLC in order for each of us to use BOTH our SDIRAs AND our newly formed Solo401k accounts? Or would we be able to use the original LLC and break down the ownership to each one of us owning 33.33% or new LLC, but doing it by say owning 10% with out SDIRA and 23.33% with our Solo401k accounts. We would need to add more capital to the existing LLC from our SDIRAs and Solo401ks to fund the new properties we are buying. At this point we only have a verbal acceptance and no 'personal funds' have traded hands.

Thanks, Dan Dietz