Posted by Houserookie on January 18, 2001 at 14:16:29:
Before I buy anything I want to make sure that I know what I’m getting into. So when I read stuff I have an idea of what to expect.
Most people buy things and start following step by step and have no idea what they are following.
Both Bronchik and Gatten are good. I tend to agree that the Pactrust is a bit complicated for newbies.
Personally, I think a simple land trust can achieve many of the benefits offered by Pactrust.
You might want to check the laws in your state regarding TRUSTS, common law trusts, and business trusts before you buy anything. It’s all on the web now… use it.
Do a web search for your state leg. under business entities, real estate, etc…
I live in MN, and the last I checked, we have laws protecting trust owners. So when I came here to verify some facts, I find that certain facts are omitted, or consider insignificant by some of the experts here.
That’s the link I went to that talks about business trusts. From what I gathered, it does’t matter whether it’s revocable or irrevocable, I’m shielded from personal liability. Costs jsut $150 to register with the state.
Here, I am told to setup a land trust $XX, with LLC co-beneficiary ( $$ x ), and corps, etc…
By the time you add up the expenses and time it takes to manage these entities, you could have little or no assets left to protect. : )
Personally, I would focus less on protecting your money until you have money to protect. Focus on closing deals.
If you are savvy enough, you may even be able to learn off the posting alone. But I do believe in givng back what others give to you.
Bronchick, Randy, and Gatten have all contributed to this board. I don’t know who they, and I have no incentives to recommend any, but give them your business.
Just last month, I talked to an old friend and his CPA attorney about business law. They talk about corps, LLCs, partnership, etc…
They somehow forgot that you can operate a business as a trust company and get the same and more benefits than a corporation. In fact, his attorney didnt’ even know that you can have a business entity as a trust.
Bottom line, do you homework.
Hope this helps.