Really appreciate ALL the great feedback. I will push forward, do a little more research, then make a decision.
Colleen,
The state of Nevada protects against charging orders. Basically, if you were to lose a lawsuit, your property (owned by the LLC) cannot be seized as a method of payment. It offers indemnity which could protect your credit. It is also very discrete about ownership of LLC's meaning your name is better protected than other states. Even if you lose a lawsuit it still remains difficult for people to collect the money you may owe them. The state of Nevada also goes by statutory law instead of case law. Translation, it limits judges from making whatever judgment they want.
Don't misunderstand me, if I were at fault and lost a lawsuit I would honor the judgment and pay, but I still like the protection because it prevents the other party to just start terrorizing you and taking your pay (corporate paycheck from the LLC), or even worse my top valued property.
I have heard from multiple sources that Nevada is the best state to form an LLC in. Many of the major companies have also used Nevada to form their corporation. I have been told that Wal-Mart forms a Nevada LLC for each one of their delivery trucks.
I asked the rep if all these Nevada LLC benefits still stand up in other state courts (TX, VA, OH, FL, & MS) and he said yes. Again, I would like to continue to do a little more research. I am an active duty Naval Officer and plan on speaking to legal to see if I can find out more. Thanks everyone.
