Newly formed LLC for Holding & Leasing

[David A Lisowski]

So I registered an LLC with the intentions of opening a business checking account and running all the finances for our rental property through that account.

We are not closing with the LLC on title, but I want a bank account separate from our personal finances to document our income and expenses.

Our realtor is working to get someone on a lease. We will collect first month and security deposit. Ideally this will be done before we close at the end of June.

Rental property expenses will be paid directly from the business account. Monthly rent will be deposited directly to the business account.

Since this is absolutely new to me (the LLC setup), I'm not even sure I've provided enough details for folks to provide feedback or advice...

Essentially this was a bookkeeping method and not a legal one. I didn't consult with a lawyer or CPA before registering the LLC. Then again, nothing is set in stone other than I picked the name and paid to register. I know this LLC does not provide legal protection nor anonymity.

If anyone with similar experience has some good suggestions or even clarifying questions, please let me know!

[John Warren]

@David A Lisowski this is all easy stuff if you have a competent book keeper. Any transactions that are done in your personal name can be logged appropriately. Obviously, you want to get things rolling through the LLC right away though, so if the accounts are open why not have the LLC start receiving money and paying bills? Then when you quit claim the property over into the LLC everything will be logged there.

Just track everything you do in an excel spreadsheet or google sheet. Keep a separate bank account for your LLC and run everything through there for easy reconciliations in the future.