LLC -- plain vanilla? - Posted by Robby C

Posted by John B. Corey Jr. on September 16, 2005 at 22:07:19:


Technically there are a few variations with an LLC.

You can set up a single member as you mentioned.

You can set up an LLC with multiple members. It has the option of having the taxes pass through as in a partnership or be more like a traditional corporation.

If you go the single member route you can set up the LLC so that if there was ever to be a second member the default is a pass through. You define in advance that if a second member happens later the tax treatment is already specified.

So, there is only one LLC legal definition but there are variations as to how you deal with the possible alternatives for taxes (and some other minor issues about company meetings, etc).

John Corey
Chelsea Private Equity LLC

LLC – plain vanilla? - Posted by Robby C

Posted by Robby C on September 16, 2005 at 12:03:17:

Am getting myself confused over what type of LLC to have set up.

I am an individual and don’t intend on having any partners, perhaps a few. I do know my lawyer and others highly recommend setting up an LLC.

Does anyone have any good reccomendations on LLCs that relate to real estate and how they have theirs set up?

Good references?

Have fond some online but amnot aware of what others might be using…

Robby C

Re: LLC – plain vanilla? - Posted by phil fernandez

Posted by phil fernandez on September 17, 2005 at 18:26:54:

LLC’s are pretty simple legal instruments. However saying that, you should still sit down with a local attorney that has set these up before to do it right.

LLC’s are wonderful. I’ve had many since 1999.

Re: LLC – plain vanilla? - Posted by Randy (SD)

Posted by Randy (SD) on September 16, 2005 at 14:53:43:

You’re going to set up a single-member LLC. What other type of LLC is there? You might want to check out my for general information on LLC’s.