LLC for out of state property in Wisconsin

[Savvy Kay]

Hello all,

I just closed on my first investment property in Wisconsin (I'm an out-of-state investor based in California), and I'm looking for advice on the best way to set up an LLC for it.

I've gotten two different suggestions:

1. Form an LLC directly in Wisconsin, then hire a registered agent there. If I go this route, is a registered agent required? And where's the best place to find a reliable one?

2. Form an LLC in California, then register it as a foreign LLC in Wisconsin.

If anyone has experience with either option, especially in terms of taxes, liability, and ease of management,  I’d really appreciate your input.

[Chris Wade]

You'll be better off creating the LLC in Wisconsin from the get-go, as starting the LLC in CA and then foreign filing into WI doesn't really offer any benefits to you. A registered agent is required to create an LLC in any state, and there are several good companies that offer registered agent services online.