If I did decide to flip it, how could I do so and avoid paying all of the taxes and liens on the front end?

You can (and should) also require that everyone over 18 years of age complete and application and each one pay the app fee.Again, number of people as a criteria should be avoided as it can be construed to illegally discriminate against families. 

To avoid paying the California LLC fee for my Colorado LLC, it was recommended I make my brother (Colorado resident/property manager/registered agent) the managing member with 0% equity in the LLC.Thanks in advance.

I avoid getting into low P&I payment notes for this very reason. 

As a real estate investor, you should communicate clearly up front to avoid any form of confusion.  

I understand the need for a seller to avoid buyers who are not serious, but they could easily keep marketing and accept back up offers during the 1st buyer's due diligence phase  in case the buyer flakes on them. 

I want to avoid paying for memberships to association (or figure out if they are worth it) and get on the investor track.  

@Eric Griemsmann Congrats on finding something you have more desire to do.I'd suggest reading the book on flipping houses by @J Scott as it can help you avoid many of the pitfalls.

What stops them from bidding against you and avoiding your wholesale fee?

I have heard so many stories of people getting burned by these guys in the past  that I am doing whatever it takes to avoid these issues.