You might need to get the lender's clearance or pay off the current mortgage in order to accomplish this.Annual Fees: There are expenses associated with running an LLC every year, including possible franchise taxes and state filing fees.

I was called shrewd and unconscionable by car dealers working for major auto franchises ,but I couldn't care less about it.

Rarely do I come across a LLC that is treated correctly (without comingling of funds, documenting the minutes of the required board meetings, and often paying the franchise taxes to keep the LLC active). 

I'm looking at getting into the world of property management via a franchise.

Scale with Franchising or Licensing (Optional)If your business model proves highly successful and replicable, consider franchising or licensing as a way to scale rapidly.

I searched and there are a lot of Epoc PM companies around the country, which leads me to believe it's a franchise.

I worked very briefly for a Homevestors Franchise in Mobile, Alabama.

This means you'll have to comply with California state laws and pay additional fees, including the $800 annual franchise tax in both states.While Delaware offers privacy and favorable business laws, if you're primarily doing business in California, forming a California LLC might simplify things and avoid the need for foreign registration.

Just four years ago, Pace Morby owned a HomeVestors franchise and posted on this very site asking the BP community for real estate advice.  

Would love to hear from other pros.For California investors with out-of-state properties, common asset protection strategies include using separate LLCs per property for liability isolation, though this incurs California's $800 franchise fee per LLC and administrative overhead.