If you’re a California resident, the state will still expect you to pay its annual franchise tax for your LLC, even if the LLC holds properties out of state.

Short-term rentals require adherence to specific ordinances, and forming an LLC offers liability protection but incurs California’s annual franchise tax.

And or the WE buy houses franchises what are they going to do..

This structure offers liability protection, scalability, and tax benefits but involves administrative complexity, potential California franchise tax if managed there, and refinancing challenges due to personal guarantees.

HOWEVER - if you are able to actually do this and make it highly profitable, you should franchise the model because you might make a fortune.

This franchise provides training and a CRM to get you generating revenue.

And I would also get access to their team of financial experts on how to build additional income streams such as franchising.

At various times during the past 25 years he “specialized” in oil and gas drilling, franchise sales, surgical center investments, office centers, start up incubators, vitamins, mobile washing equipment, cemetery syndications, residential mortgage brokerage, commercial mortgage brokerage, insurance as an investment, long term care insurance, and property development in Mexico.  

On another note something that would reduce general inflation is getting rid of the laws that force (limiting competion) auto manufacturers to sell cars through a franchise dealer model.

Thank youGerman It is the CA Franchise Tax Board's position that an out of state LLC owning an out of state property run by a California resident would still need to register in California:https://www.ftb.ca.gov/forms/m...