Hey everyone! My partner and I are new to the business and have taken the necessary steps to achieving our first deal. My question is, as far as legal protection goes, should we set up an LLC? I have be doing research and the answers that I found were that S-corps are for a business that has had a nice track record and C-corps are for the more mature and established buisnesses. I will appreciate all responses! Thanks!
In my endeavors I have found that using a blend of different entities has been the best for both Liability and Tax purposes. So a blend of LPs, LLCs, and C Corps. I don’t like S Corps because they are just a pass through, meaning the money that goes in goes directly to the partners and they pay taxes and don’t get the liability protection you think.
Donna Fox, an attorney and investor, has some great audio from a presentation she gave. It was on what she called “PREMES - Professional Real Estate Multiple Entity Structure”.