Everywhere I've read about having an LLC or Corporation has said that its a smart thing to do. And how could it not be, after all if anything was to happen with a property, you would not be held liable for it. Which means they cannot take your car, or your house, or anything that is rightfully yours. How do you think Enron did it?...lmao
I'm still new to this, but I'm starting to see the light. Me and a guy I met at the DG conference here in ATL wanted to work together. Thought it would be a good idea, but it ended up not being so. However we did get a few things accomplished in that short period of time. We established an LLC, Mr. Great Estates, LLC. We got the website and a phone. He was very close minded and we weren't well suited to be in business together, so we went our seperate ways. However, I got to keep the business and I'm looking forward to the future.
Here are a couple of things to consider when forming your LLC, or corp.
1. Talk to a knowledgeable accountant about forming your business. They will know the pros and cons of each type of entity.
2. When coming up with the name, make sure that the website is available too. You don't want to have a business named Bobs Houses, and a website houseofbobs.com Another thing here, you want to have a .com rather than a .net, .org, or something else. .coms' are easier for people to remember and will be less confusing.
3. You'll want to get a business phone line, fax line, and address. For the phone, most will say to get a 1-800 #, and they are right, but if you can't afford one, or if you are just starting out, its ok to use your own # through the first few deals. My partner and I went out and got a magic-jack for our phone line. Fax line is obvious, any fax you have access to will work. For the address you will want to use a P.O. Box, this way your not receiving un-solicited mail at your house, as well as letting peeping toms know where you live.
4. Brand your name. Either design your business cards and website yourself, or have someone who knows how to, do it for you.
I hope this has helped a bit. I've had a couple of businesses in the past, so I know a few things about it. A good accountant can help you tremendously with all of it. If your in the ATL area, I know a VERY good accountant who I recommend to everyone.
BTW, to get your federal tax ID or EIN, it will usually run you $500+. Depending on where you go, some can do it for less, and others for more. If you want, you could probably talk to a RE Attorney and they would be able to help you with the paperwork as well. It'd probably be a little cheaper through them, however you might not get the same kind of tax advice or strategies as you would, say from an accountant.
Any of you in the ATL area that would like to network, or would like info on the accountant I use, send me a PM and I'll get back to you ASAP. Take it easy Mike. Good luck man
One more thing that is very important when conducting business matters with your newly found corporation or LLC, is to make sure that ABSOLUTELY EVERYTHING is put in the business name. Nothing should be in your name EVER! My Accountant told me that many times people put cars, houses, and other things in their name and he has to go back behind them to change ownerships. He says its a total nightmare. I'm sure that a good Accountant would be able to give you advice on doing so. Or surely a RE Attorney could. From what I gather it is best to have an Attorney on your team anyways to look over all documents before close.
Ya Linny55, there are some sites out there that will do it for hardly anything at all, but I would be very careful about who you get it done through. You never know about people on the net, what they can do, or what they don't do in some cases. IMO, its best to have either an Accountant or good Attorney do this for you. But if you want to save some money there are options such as what linny mentioned.
BTW, whats the site where you went in order to get that linny? I know legalzoom.com is a good one, but I think they charge like $150 + other fees and such. In my state I know the minimum is $100, thats what the state charges. My understanding is that the fee varies from state to state.
From what I read, there are ways to buy and sell your RE interest through a business by making offers on homes and then selling the company to someone for the profit you want to make, and then they turn around and buy the property that you made the offer on. Its supposedly some sort of loop hole. I need to find out more about this, but if this is true, it would make sense to do this with most deals, especially if it only cost you $50 to get one.
Anyways, I'm gonna go eat and maybe play some poker. Ya'll have a good one.
Both my accountant and RE attorney told me that an LLC is the way to go. It is the least complicated for running a small business and especially for tax filing purposes. But as with anything, everyone should do their own research and due diligence in making the decision. I actually have three now Also, if you are going to do out of state deals, be sure to register your LLC as a foreign entity in that state before closing. Its easy - you can do it right over the internet and usually costs about 150 - 195 bucks, and then you can legally perform business in that state.
As I mentioned to you earlier, we started an LLC. We met with our accountant and then our attorney about this. We submitted paperwork to the Secretary of the State of CT and the fee was $120.00 to register your business with the state and then I was able to fax paperwork to the IRS for the EIN, employment identification number and it took a few days and the IRS faxed the form back to me with our EIN and that did not cost anything. Hope this helps.
Offline
Everywhere I've read about having an LLC or Corporation has said that its a smart thing to do. And how could it not be, after all if anything was to happen with a property, you would not be held liable for it. Which means they cannot take your car, or your house, or anything that is rightfully yours. How do you think Enron did it?...lmao
I'm still new to this, but I'm starting to see the light. Me and a guy I met at the DG conference here in ATL wanted to work together. Thought it would be a good idea, but it ended up not being so. However we did get a few things accomplished in that short period of time. We established an LLC, Mr. Great Estates, LLC. We got the website and a phone. He was very close minded and we weren't well suited to be in business together, so we went our seperate ways. However, I got to keep the business and I'm looking forward to the future.
Here are a couple of things to consider when forming your LLC, or corp.
1. Talk to a knowledgeable accountant about forming your business. They will know the pros and cons of each type of entity.
2. When coming up with the name, make sure that the website is available too. You don't want to have a business named Bobs Houses, and a website houseofbobs.com Another thing here, you want to have a .com rather than a .net, .org, or something else. .coms' are easier for people to remember and will be less confusing.
3. You'll want to get a business phone line, fax line, and address. For the phone, most will say to get a 1-800 #, and they are right, but if you can't afford one, or if you are just starting out, its ok to use your own # through the first few deals. My partner and I went out and got a magic-jack for our phone line. Fax line is obvious, any fax you have access to will work. For the address you will want to use a P.O. Box, this way your not receiving un-solicited mail at your house, as well as letting peeping toms know where you live.
4. Brand your name. Either design your business cards and website yourself, or have someone who knows how to, do it for you.
I hope this has helped a bit. I've had a couple of businesses in the past, so I know a few things about it. A good accountant can help you tremendously with all of it. If your in the ATL area, I know a VERY good accountant who I recommend to everyone.
BTW, to get your federal tax ID or EIN, it will usually run you $500+. Depending on where you go, some can do it for less, and others for more. If you want, you could probably talk to a RE Attorney and they would be able to help you with the paperwork as well. It'd probably be a little cheaper through them, however you might not get the same kind of tax advice or strategies as you would, say from an accountant.
Any of you in the ATL area that would like to network, or would like info on the accountant I use, send me a PM and I'll get back to you ASAP. Take it easy Mike. Good luck man
sounds like a good idea,thankfully i have nothing to lose
ANY FOOL CAN CRITICIZE,CONDEMN AND COMPLAIN AND MOST FOOLS DO.
BENJAMIN FRANKLIN
WE got an EIN number for my husband's business right over the internet and it didn't cost anywhere near that. I think it cost us about $50.00.
One more thing that is very important when conducting business matters with your newly found corporation or LLC, is to make sure that ABSOLUTELY EVERYTHING is put in the business name. Nothing should be in your name EVER! My Accountant told me that many times people put cars, houses, and other things in their name and he has to go back behind them to change ownerships. He says its a total nightmare. I'm sure that a good Accountant would be able to give you advice on doing so. Or surely a RE Attorney could. From what I gather it is best to have an Attorney on your team anyways to look over all documents before close.
Ya Linny55, there are some sites out there that will do it for hardly anything at all, but I would be very careful about who you get it done through. You never know about people on the net, what they can do, or what they don't do in some cases. IMO, its best to have either an Accountant or good Attorney do this for you. But if you want to save some money there are options such as what linny mentioned.
BTW, whats the site where you went in order to get that linny? I know legalzoom.com is a good one, but I think they charge like $150 + other fees and such. In my state I know the minimum is $100, thats what the state charges. My understanding is that the fee varies from state to state.
From what I read, there are ways to buy and sell your RE interest through a business by making offers on homes and then selling the company to someone for the profit you want to make, and then they turn around and buy the property that you made the offer on. Its supposedly some sort of loop hole. I need to find out more about this, but if this is true, it would make sense to do this with most deals, especially if it only cost you $50 to get one.
Anyways, I'm gonna go eat and maybe play some poker. Ya'll have a good one.
Peace
Both my accountant and RE attorney told me that an LLC is the way to go. It is the least complicated for running a small business and especially for tax filing purposes. But as with anything, everyone should do their own research and due diligence in making the decision. I actually have three now
Also, if you are going to do out of state deals, be sure to register your LLC as a foreign entity in that state before closing. Its easy - you can do it right over the internet and usually costs about 150 - 195 bucks, and then you can legally perform business in that state.
www.adeptpropertiesllc.com
my story:
http://www.deangraziosi.com/node/10404
Hi Mike,
As I mentioned to you earlier, we started an LLC. We met with our accountant and then our attorney about this. We submitted paperwork to the Secretary of the State of CT and the fee was $120.00 to register your business with the state and then I was able to fax paperwork to the IRS for the EIN, employment identification number and it took a few days and the IRS faxed the form back to me with our EIN and that did not cost anything. Hope this helps.
Anna
Chesloe Properties, LLC
Middlesex County, CT