If you do not report these earnings to the IRS, you can incur IRS penalties as high as $580 – for each worker ($290 for not sending it to the IRS + $290 for not sending it to the contractor)!

For example, we've recently taken over marketing internally because the property management company was not experienced enough in using the newer advertising methods we need to pursue.

Qualified Joint Venture reporting is not available in this situation.

Of course, I run a cost segregation company BUT I would recommend that regardless.

Now we're seeing major disasters in densely populated areas and insurance companies can't maintain their profit margins.

The utility company missed an appointment and no communication from them or action to even reschedule.

Quote from @Nick Am: @Brett SynickyAnswers and thoughts below in Bold--> I am trying to setup a management company (LLC-B) and charge LLC-A management fees.

It does appear everything they have done in the past four years is catching up, people are reporting them but at the same time, they start new investments with new people and keep selling the program.

This company might be a good option one day, but not now. 

I didn't see a need for a holding company but if someone wants one, you can just use another LLC as the holding company.