S-Corp & LLC - Posted by Elwood
Posted by Elwood on February 19, 2002 at 09:22:42:
I formed a S-Corp to hold my real estate investments. I plan on purchasing both homes for resell in lease options and rentals for a long-term investment. I have thought about forming an LLC to hold my property management business. I buy the property, transfer it to my S- Corp, then have my LLC handle the property management. I plan on having my S-corp pay the property management fee to my LLC. Does this sound like a good idea? I thought this would give me added liability protection as a property manager/Landlord and separate the two businesses, especially if I want to contract management services for other investors’ properties in the future.