All Forum Posts by: Greg Boots

Kathy,

I agree with what has been said. Even though you file a DBA the property is still held personally. If there is any type of liability exposure on the property you will open yourself to be sued personally.
Place the property in an LLC. The LLC will help contain the liability exposure inside of the LLC. Since the LLC will have it's on unique name filed with the Secretary of State it won't be necessary to file a DBA for the business.

Hi Scott,

It's great to have another attorney on the site. I am always looking for local attorneys to handle transactional issues for my clients.

Greg

I forgot to add: If you are looking to preserve anonymity you could create a Nevada LLC that holds the membership interest in the California LLC. This option will also provide better asset protection and simply foreign filing a Nevada or Delaware LLC to do business in California.

Matty,

Since you are doing your transactions in California you will be subject to the franchise tax. If you set up your LLC in a state such as Nevada or Delaware that provides anonymity, that anonymity will be lost once the LLC foreign files to do business in California.
I would not recommend a series LLC. California requires an $800 franchise tax fee for each series in the LLC.

Alfred,

Instead of a 401(k) you might want to look into a 401(a) Profit Sharing Plan. Contributions to the plan will be a deduction to your corporation. You will be the trustee of the plan and you have full control over the plan investments.
The rules that govern qualified plans such as 401(k)s and profit sharing plans allow much more flexibility in your investment options, the ability to borrow, mortgage the properties in the plan with out getting hit with UBTI.
I have set up a couple of thousand 401(a)s over the years for my client's corporations and LLC and many of them actively invest in real estate in their plans.

Hi Terry,

Welcome to the group. There are excellent opportunities here to network and vast amounts of information.

Greg

Welcome to site. I have several clients who have invested in Rochester and are cash flowing very nicely. You are in a good market for long term holds.

Hi Tyler, welcome to the group.

Hi Sung,

Welcome to the site! It's great to have you hear, this is an excellent site to network with other investors.

Greg

This is a great topic.

I grew up in the real estate industry working for my father's construction company.

I originally went to law school to focus on environmental law, specifically in the area of commercial land development. I ended up devoting all of time to business, estate and tax planning which looped me right back into my involvement with real estate.

I am extremely fortunate to work in a field that I love and work with like minded investors on a daily basis.