LLC vs Sole Proprietorship

[Tatiana Duarte]

Hello BP land! I'm looking to purchase a duplex as an investment property or house hack a triplex in NJ. I'm planning on doing the property management myself (at least in the beginning and see how it goes). Since it will just be one small property, it is worth setting up an LLC or should I just do business as an individual? -Tat

[Robert Gilstrap]

@Tatiana DuarteI can agree with @Allan Smith that no matter what you should keep the momentum going and don't let details like complex entity structuring block you from finding more deals but having done this for 25+ years it's so simple to setup a land trust and LLC that I can't fathom why anyone wouldn't do it up front. It's almost like saying "well this is just your first car, so why bother with insurance on this one. Wait until you get several and then get insurance."

LLC's and trusts offer you much more than insurance can ever offer and regardless of how you fund your purchase they can be used.

Good luck investing!