- Run your numbers (including all operating costs including property mgmt) based on current rents in AS IS condition and renovated.

Your operating agreement would have to specify exactly what you can do with those monies.  

With running this "business" there will be operational input costs.

So, WHY screw with a successful system that your able to operate without undue stress? 

You want to be understanding and not "kick them out", but at the same time let them know you operate differently than the previous owner and if they would prefer not to operate that way that's a decision they can make.

If they try to pay their labor as 1099 they run at great risk of violating a host of draconian labor laws such as AB5, the borello law and a litany of "misclassification" laws.There are substantial differences in how "right to work" statstate as operate as opposed to "non right to work" states.SBA defines a small business based on employees and revenue size.

Before committing, I’d highly recommend researching demand in your target area and connecting with operators who already run similar rentals there.A tiny home or glamping concept could be a huge hit in a market where it’s fresh and unique, but in areas where it’s been done before, you’ll need to bring something innovative to stand out.

Solid curtains, water fountain in the backyard, adding trees at the property line nearest the freeway, white noise generators are all other options.

@Henry Clark thanks for sharing this detail, really interesting to see the operations and "stabilizing" side of things. 

Most lenders I know that lend on projections just go off AirDNA cut and dry.Are you using the premium version of AirDNA that allows your to see the comps or just going off the generated numberIf there are no lakefront comps, I am afraid you will be sort of winging it.