Distributions can also be structured in a way that allows your money person some or a majority of the first cash flows, and there are creative ways to structure his input (eg loan to company vs equity).

Given my situation, which business entity should I use, which state(s) should I register in, and how will I be able to accept funds and pay distributions out of this entity?

The Military, Automotive, Agriculture, Distribution, Food, Machinery, Plastics and Printing industries are the largest employers in Hopkinsville.

I would be curious to know where the ARV is being derived from. 

If this is the case, the corporation was never wound up (assets marshaled and distributed to the shareholders).

Additionally, if you several properties and the loan premium is $80/month it isn't too bad distributed amongst the properties. 

There are a few homes of nice standard being sold to the working class people and they are averaging between $65-90k, which is what I derive my ARV from.I know all you seasoned vets out there say to steer clear of these properties bc they become a huge hassle.

If my portfolio isn't 100% occupied, tell me before the owner statement and owner distribution come.

If I understand you correctly you wish to take a distribution from your 401k, right?

If you say: “I’m starting at $50K because the max I can do the deal at is $53K” and that’s derived from a pro-forma it might be another story.