A single account is all you need, and you can set up virtually unlimited legal entities and assign virtually unlimited bank accounts to those entities from that single account.- Tenants do not get charged ACH fees for each invoice when they pay them all at once.

I take it to mean you have someone willing to invest money into an entity you own as an unsecured note at 5% interest plus a cash flow participation on property you purchase?  

The rental property itself provides the tax benefits and not necessarily the entity structure.Depreciation should wipe out your cash-flow from being taxed, especially given the high prices of properties right now.You should have your tax returns reviewed if your properties are reporting positive taxable income.

The proposed entity will be a Texas Series LLC, e.g.

@Brian WillieI would contact an entity attorney.

An LLC is just an entity you use to protect yourself against liability.If you have the opportunity to buy in your backyard, I would.

I would set up an entity that buys the property, you'll put the capital into the business and find an equity split that works for you.

For another small fee, they can keep your state entity filings up to date.  

Does an LLC from another state have to register as a foreign entity in NY to own and rent residences?

:Jesse makes an excellent point for owning property in a limited liability entity in addition to having liability insurance coverage on the property.