It’s a distinction without a difference and only important, really dangerous, when friends or family think they can skimp on the rules because they call themselves a private lender. 

Just don't put yourself in a situation where criminal charges are a distinct possibility.

My wife and I just moved into a 3-family property a few weeks ago (our first home) and have collected our first month's rent from the two other tenants - a very good feeling.Here's what I'm doing right now: I have both security deposits sitting in their own distinct checking accounts untouched.

An IRA is separate from the IRA account holder and must have its own distinct insurance for the assets it owns.

That is a huge distinction between those of us who do it legally and morally and those who don not.To touch on a few things you mentioned above, part of the topic discussion of creating wholesale deals IS having a buyer to purchase it so I think we are on a relevant topic with our debate.

You also need to understand the distinction between private money and hard money. 

There is absolutely nothing special about Series LLC for tax purposes, as opposed to a regular TX LLC.Their distinction is in the legal protection, not taxes. 

The Fair Housing Act makes no distinction. 

Seeing this distinction might make her feel more comfortable.

These intangibles generally have a tax basis of 0 if self-generated, but the FMV is likely much higher.It helps to think of the individual as operating in two distinct and separable capacities here with respect to his or her S Corp.