Create an LLC for first partnership? Best way to do so

[Anthony Fontana]

I am 23 years old and am looking at buying small multi-family (<4 units) with a silent partner who is a physician by day. He is worried and wants his personal assets protected when investing (he is a high net worth individual).

Does anybody have any suggestions how to structure an LLC for this type of business or deal in Georgia, or anywhere? I personally own one small condo that I am currently house-hacking and had no trouble receiving a loan or financing the property. My partner also has great credit.

Will we run into a lot of issues getting financing if we invest together, underneath an LLC?

Any advice or people to contact would be greatly appreciated!

Thanks in advance.

[Scott Smith]

Thanks for the praise  @Costin I.!

@Anthony Fontana Your partner is right to be concerned. Physicians have special considerations when it comes to asset protection, and he certainly would want to keep his name off of any publicly filed documents to ensure his personal assets are protected.

There are a few ways around the financing issue, including buying in your own name and immediately placing the property in a Land Trust to get around the Due on Sale clause. But you want to be careful to do this correctly, particularly if you're forming an LLC (venture-specific or otherwise). There are pros and cons to both of these tools, and quite a few benefits to using them together for the strongest asset protection plan possible. An attorney who is familiar with asset protection generally, and Land Trusts in particular, could ensure you're doing things by-the-book.