Creating an llc and selling llc for reo wholesale

[Ayana Mingo]

Can someone walk me step by step to creating a llc and then selling the llc for a wholesale deal?

[Chris Martin]

The mechanics of creating a company and selling a company are pretty straight forward. Disclaimer below. Start with the PA Secretary of State website. Click on Organization - Domestic Limited Liability Company, fill out the PDF file, mail in with $125. You can find an initial registered office with one year free to keep your upfront costs down. You'll need by-laws and operating agreements. I won't comment on this part at the moment since I don't know the PA LLC laws. In NC, Chapter 57C is devoted to most everything LLC and is nice to reference as a "default".

To sell an LLC interest, you can sell the membership interest (most likely) or merge LLCs. Forms are on the PA SOS site. To sell the interest, the easiest way is to file an Certificate of Amendment and in line 3, put something to the effect For good an valuable consideration, Member X has relinquished all membership rights to new Member Y... or add your LLC sales agreement as an Exhibit A attachment.

Disclaimer: I have done all of the above with either an LLC or S Corp, but all in NC... none in PA