STR- Business and/or Title as LLC?

[Allison Martychenko]

Hello! Looking for advice on putting a STR into an LLC.

- Why is this recommended?

- Does the title and business need to be in an LLC or can just the business be in an LLC?

- What are the advantages and disadvantages?

- What professional is best to seek advice from- attorney? accountant?

Thanks in advance!

[Collin Hays]

The biggest advantage of an LLC for a vacation rental is personal liability protection. The owners are not personally responsible for the debts or lawsuits of the company. HOWEVER, you've got to be very vigilant on running the LLC as a true company - separate banking accounts, credit cards, books, corporate records. If there is a claim, the plaintiff may attempt to pierce the corporate shield and demonstrate that the LLC was set up only to facilitate negligence on the part of the owner.