How to become a hard money lender

[Zee Anon]

Somebody in my network has been successful as a flipper. I have liquid capital I'd like to diversify away from stocks and into RE. We've already agreed on rates, and I'm going to ensure all the paperwork protects me just like it would any other lender (proper contracts, personal guarantee, etc)

The part I'm unsure of is what type of entity it should be under, just a regular LLC? And if the LLC exists purely to lend money, do I need some sort of license? If so, are these difficult to apply/get approved for? I'm located in Texas, flipper(s) will be out of state.