I am looking for guidance on how to handle the first income property as it relates to getting the loan and LLC formation.

Your true test will be how well can you handle the day to day as well as the major operational requirements of the arbitrage business as you scale.

How they handle their turnover is their business.

The ACH transfers are slow but reliable.Cash: dangerous to handle that much cash, easy to lose, have stolenChecks: bounced check fees are a painPaypal and some other services: I have heard horror stories of accounts being frozen for weird reasons

Your greatest challenge is going to be running this management company without the appearance of co-mingling all of the LLCs together.Bear in mind that one of the things that you'll be doing here is converting Passive Income to Earned Income via the Mgmt Company and that will be subject to self employment tax whereas had you left everything in the property LLCs, you'd have only passive income. 

Challenges?

In this community challenges are seen as opportunities, for growth and setbacks as stones to success.Final Thought; Embrace the PathBrowards real estate market is like a thread in the fabric of life weaving tales of resilience, progress and boundless possibilities.So lets embark on this journey with optimism in our hearts ambition in our minds and excitement for what tomorrow holds.

Challenges?

Deposits have the expectation of the money being returned if parameters are met, and you could well get challenged on this by a tenant if your lease is phrasing it as a deposit as opposed to a fee. 

Finding a private/hard money lender willing to make a $50k loan will be challenging.