Do you think your insurance policy will cover you on any liability when they find out you are not running a legal operation?

@Andres Triveno, operating the LLC 100% means that we sign contracts and other documents as member or manager of the LLC instead of using our own names, we have a business phone instead of using our personal phone, we have a business checking account for business spend.

Just be sure to thoroughly vet the operator’s track record and the deal structure.

Many follow the Entrepreneurial Operating System from the book Traction.One of our core values as a company is to be "enthusiastic about doing the right thing."

If you operate the vacation rental as a short term rental, you will be able to take advantage of taking any losses you have on the property against your ordinary income.

@Sharon McCants - I lean toward the advice from @Jonathan Greene on your question.Years ago, I made the mistake of forgoing quality for quantity, which led to headaches and a fundamental change in the way our company operated and in the way I personally invested.

Great property, perfect setup for a duplex with separate driveways, entrances, back patios w/ storage, brand new roof, plumbing, newer HVAC, appliances, flooring, etc.

So on a 12 unit, I would keep an operating cushion of roughly 24-30k. 

Clayton was the sales and Bert was the operations.

More looking for guidance in building a scalable co host operation.