People say protect your assets because if you’re not protected people will steal your furniture…How much protection is necessary?? too vague of a question huh? well
me and my business partner are going to do flips,holds and we have no clue what kind of entity would be good. people say set it up online by yourself… others say thats suicide because any good attorney can pierce through your entity…some say do it with a lawyer for the best protection…what to do , what to do
thanks guys
Jerry
asset protection is all about setting up barriers between your pot of gold and some (greedy) plantiff’s lawyer. Therefore, one really needs multiple layers and strategies. With that said, nothing is bulletproof, but some techniques are definate better than other. Another way to look at it is all about probability that a lawyer will be successful in getting over your hurdles (such as LLCs, use of land trust, etc). Most people who threaten to sue have little understand of the time and money involved to do so and usually disappear into the night. At best, the first hurdle should stop them. Second, they do not understand the concept of how to determine damages. With the exception of personal injury, in most cases this is pretty straight forward and much smaller than people would think and often times smaller than the amount of money to actually get a judgement (note, atty fees arenot automatic awarded even if the defendant loses the case).
As for what entity to use, there are numerous good post on this topic; just look back over the last several months of posts in this forum. There is no single “right” answer; just better and worse choices given a particular situation.