Debt Coverage Ratio: target?

If your insurance coverage isn't enough, they could seize the LLC assets, but not your personal assets.Additional thoughts:1.

This is because it's VERY difficult and expensive for a PMC to get liability (mostly slip & falls) coverage on a property they have no ownership interest in.

Actual cash value (ACV coverage) is what I prefer as a lender versus RCV coverage.

Sure, but factor in that I take them to and from school every day, can't even claim them as dependents on my taxes, provide full medical, dental and vision coverage.. and they stay at my house overnight 50% of the time, and I'm probably paying too much.

What are the legal risks one should think about in order to decide if this is worth pursuing, and how can those risks be mitigated with insurance coverage?

Definitely have a very robust, comprehensive partnership agreement, a lot of these investments go south and a lack of planning can lead to some expensive disputes.Storage is hot, industrial outdoor storage would get my vote.

@Jake Adams ...utility bills, evidence of insurance - find out where you stand in terms of coverage when you change the policies, basically everything that would be included on an operating income and expense statement.

Our Nephew bought an older (family) home on Longboat Key & NOW they are required to install hurricane windows/doors 'to code' & for insurance coverage

The other part is the DSCR ( debt service coverage ratio ).