All Forum Posts by: Jaxi West

From the brief trainings I have watched from Alan Cowgill -who is really great btw - the short ones - you don't need to register with the SEC if you are just asking friends or associates etc for money. It's just like having a private convo asking to borrow money.

You only need to register with the SEC if you are going to go about 'officially seeking' lenders - outside your own network boundaries - ex: advertising on the internet, etc. I am not giving legal advice - so just keep searching to find someone to get all your questions asked. Someone out there knows about your area. It's not like your state is foreign.

@NedCarey - thank you for the true insight. Will look forward to learning from you on your blog and here.

CA requirements for an LLC are steep because of the Franchise Tax Fees. Even if you Inc somewhere else or LLC somewhere else(NV, Del), you still have to pay the FTF. Some places tell you how to get around that - but in my point of view - you just don't bother attempting to skimp CA - especially when they are in desperate mode.

Over at Myhousedeals, Doug Smith suggests not forming an official business until you have done 1 deal or more. It's silly to spend all this time and money when you have no proof yet this will work for you or if you will like it enough to do it.

He suggested just put the money in a separate bank account (just open a new bank account). If you find you will stay with the business and definitely do it, then you can go about legally forming one and at that point, you will have money to cover some of the high fees.

As long as you don't mix the money with your existing personal banking account you will be fine for the short amount of time you have it in another account with no business formed officially.

This will take you minutes to open a bank account online and it's free. You can have this done by end of night.

After living there for so many years, nothing surprises me when I learn the cost of something there will increase. That's all it does do. It never goes down. :)