All Forum Posts by: Justin Kushner

hahahaha Worst advice I think I’ve ever read. I won’t even get into it, it’s a holiday weekend. 

Hi, Everybody.

I have quite a few LLCs that are owned/the member of a parent Wyoming Holding Company, LLC.

The big question... How do you show the income that flows in from your rental properties and **then** up to your WY Holding Company? For example, I send a flat $150 from every LLC up to Wyoming once a month. The rest of the cash I let sit in each LLC's Business Checking account to cover any surprise expenses, or pay down the mortgages. How do you categorize/book/label this flow of money from the children LLCs to the parent LLC? Then, how do you show it to yourself if you take the money out to buy a TV, for example? haha, just an example.

Thank you sooo much! Confusing...

Justin

@Mike S.

This was very helpful, yet again Mike! Thank you. So, I will have my lawyer use a warranty deed so that in the future the title insurance policy I already have under my name would protect both me—-and therefore indirectly—- my RE business...

is that fair to say at first glance?

I am going to deed two properties out of my name into an LLC, that is owned by my Holding Company LLC (Wyoming).

I have been told by the underwriters at the Title Company that my title insurance will not carry forward to as my name is not a Member of the LLC, but rather, my WY LLC is the Member.

To purchase two new policies in the name of the LLC costs about $650.

Would you purchase the policies? If there's a break in title later, a claim against my LLC will defer towards me, and my title insurance protects ME as I still have the original policies in my own name.

Thoughts? Thank you!

@Terrell Garren sounds pretty good! do you have all the rentals under the 1 LLC, then?

@Gio Gonzalez ... How do you expense all of your business expenses without a Management Company (travel, on the road expenses, meals, seminars...?) Are you using a personal credit card or do you simply choose one of your LLC cards? My situation:::

Say you have 5 LLCs, each with one or a couple SFHs in them. Two of the LLCs are in Alabama and three are in Indiana...

You travel a ton for more investment (real estate) opportunities, looking for homes, Airbnbs, mobile park deals, and you spend good money on the road meeting with investors and eating out trying to drive business.

What would be the best method for expensing all of these business activities? It would be ideal NOT to have 5 company credit cards and decide which to use for what on the road expense! 

Thank You!!!!

@Gio Gonzalez do you have a Management Company set up as an S Corp or a C Corp for this structure, as well?

Hello, Everybody!

I have a question for the BP Community, and would be very grateful for some direction. I have spoken with folks everywhere: Anderson, Laughlin, my CPA, real estate seminars... now I am pinging the group think-tank before making a decision. :)

Say you have 5 LLCs, each with one or a couple SFHs in them. Two of the LLCs are in Alabama and three are in Indiana.

You travel a ton for more investment (real estate) opportunities, looking for homes, Airbnbs, mobile park deals, and you spend good money on the road meeting with investors and eating out trying to drive business.

What would be the best method for expensing all of these business activities? It would be ideal NOT to have 5 company credit cards and decide which to use for what on the road expense!!!

Thank You!!!!

Can anybody help on this one? Thank you!

Hello, BP Community!

Okay- Here’s what I’ve got...

Let’s say, for arguments sake, you’ve got 5 LLCs all holding SFHs.

AL LLC 1

AL LLC 2

IN LLC 3

IN LLC 4

IN LLC 5

Now let's say you've got a WY LLC Holding Company, parent/principal/owner of the 5 LLCs.

ALL LLCs are Single Member.

How do you set up the Checking Accounts for Mortgage Payments, Rent ACH deposits? How do you set up the business credit cards for Maintenance Expenses or deductible expenses (travel, business dinners...)

Do you need 6 Checking Accounts and 6 Business Credit Cards? These seems a bit overwhelming if you were to keep adding LLCs.

Since the LLCs are, I believe, considered Disregarded Entities, can I use the WY LLC Holding Company to deposit and withdraw and charge all expenses?

If this is not the case and I need 6 credit cards, How do I simplify this?

Thank You!