Do i need to create a LLC as a Wholesaler ?

[Account Closed]

Hey guys just a quick question, my name is Sam , 23 years old and licensed real estate agent, I started reading this wholesale book, and it suggested for me to set up a LLC or S-Corp , I'm already licensed as a real estate agent? Why would the books suggest this ? 🤔

Also does anyone have any advice on how I can become good at wholesale, particularly finding good deals, I fee like everyone always miss out the most important thing, which is how to find the good deals. Where is it? HOW DO YOU KNOW WHEN AND WHERE TO GO!? off common sense I know I can’t just start running like a mad man around each town, can someone answer my first question and please advice me on my second without holding back the knowledge thank you 🙏🏾

[Weston Couch]

@Account Closed Hello, the short answer is tax benefits and personal asset protection(making sure you never lose your shirt)

Some generalized comments on the topic, though. LLCs are better in general. With an LLC, you can choose the same tax treatment as an S-Corp, and LLC's are better for protecting your assets. While they both protect your personal assets outside of the entity, a key feature of the LLC is charging order protection. Someone suing you can only go after the LLC, not the owner personally. For S-corps and asset protection, if you own shares in a corporation and are sued personally (i.e. after a car wreck), a judgment creditor can reach your shares in the corporation. If you are the majority owner, the the person suing you could gain control of your business by virtue of share control.

LLC's are extremely cheap too. If you're interested in getting one, please feel free to ask me for more details.

This is not my advice, just my opinion from experience.