Form an LLC or partnership?

[Ceasar Rosas]

Happy new year everyone! 

As of November, our group has rented out our 2nd buy and hold investment in Pennsylvania. It's 8 of us and we decided to put funds together, very minimal, to test out the market out there. Since we did this more as a test, we never formed LLC's or anything, we just had a contract drafted and everyone signed and notarized it. The 1st property we have had a bit over a year and are making about $300 cashflow because we have a mortgage on it, the 2nd will generate us about $500 cashflow, no mortgage on it. We did buy this properties under individuals. So my question is, should we set up an LLC or something of that nature to secure everyones stake in these investments? Can anyone give some advice as to what to do next? Any advice or info will be greatly appreciated!

Thank you