How to structure 10+ duplexes in Kansas

[Dimple Khurana]

Hello. We have 10+ properties in Kansas that I want to move out of our individual names into the proper entity. I've heard various things about each property being in its own LLC, dividing them half and half, etc. Which is the safest structure while also being simple and easy to manage? I know different states have different options, would love advice. Also any attorneys or tax folks that can help create them, or could I Just do it online?

[Michael Plaks]

@Dimple Khurana

You already got advice from two accountants, and I'm the third. Whatever the three of us say is pretty much irrelevant, since we are not attorneys, and this is a legal issue. You mentioned having heard "various things" - which is exactly how it goes. Everyone has an opinion about legal protection, just like about dieting or economy.

Here is the bad news. Lawyers notoriously disagree about asset protection, too. Ask them - they will confirm. If you talk to Attorney A, he may say do this. You go to Attorney B for a second opinion - and she says the exact opposite of the first one. You go to Attorney C to figure out which one was right, and he gives you a third opinion, contradicting both A and B. Not trying to be funny, it is the reality.

Hence my advice.

1. Ignore opinions of everyone except attorneys, and specifically Kansas attorneys. 

2. Make sure that the attorney you talk to is familiar with Kansas Series LLCs. It does not matter whether she is for or against them, but she needs to know enough about them to have an informed opinion.

3. Do not attempt to seek a second/third opinion. Find one attorney you like ans trust and just follow his advice.

4. Remember, as already mentioned, that whatever structure you create, it requires work and discipline in operating it.