From: "John T. McCracken" 
Newsgroups: misc.invest.real-estate alt.invest.real-estate alt.building.realestate alt.building.construction
Subject: Re: Form LLC company for rental home investment?
Date: Thu, 21 Aug 2003 14:46:16 GMT


"james w lazenby"  wrote in message
news:Sf-dnTAbWt_Lz9miU-KYvA@gbronline.com...
> An LLC is a form of incorporation.  Each form has certain
> benefits and/or detriments compared with others.  LLC does
> look better after your name than does Inc.  And, I not
> saying that flippantly.  Sometimes, especially if your want
> to operate under your own name, LLC is more effective from a
> marketing standpoint.

LLC rules vary by state but in Arizona an LLC or LLP is definitly not a form
of incorperation. LLC was originated in Wyoming it believe, as a legal
alternative to Inc. Requires no articals of Inc. and not shares of stock.
Both legal requirements for  a corperation.

regards,
JTMcC, who is not a lawyer : )


>
> Jim
>
> "Don Phillips" 
> wrote in message
> news:jHw0b.28700$dO2.25936@fe2.columbus.rr.com...
> > "Bill"  wrote in message
> > news:15b4be0.0308182012.6bb5b9c7@posting.google.com...
> > > I am looking at acquiring a rental home this year and
> another one next
> > > year.  I am also wondering if I should form an LLC
> company to help
> > > protect myself from liabilities.  Some examples are:
> > >
> > > - Occupants visitors slip on tile in backyard swimming
> pool and break
> > > leg
> > >
> > > - I myself have a minor car accident and lawyers find
> out I own
> > > multiple rental properties
> > >
> > > - Nosey employer (mine) wonders why my name is directly
> listed to
> > > multiple homes in area
> > >
> > > - I get sued by anyone
> > >
> > > etc
> > >
> > > Ultimately, over the next few years, I plan to have 3 to
> 5 rental
> > > homes in my possession.
> > >
> > > Your thoughts/opinions wanted please
> >
> > If what you are trying to do is shield your assets behind
> a company and you
> > are the company, I think any incorporation should serve
> that purpose.  I
> > associate LLC's with partnerships.  When you prepare your
> articles of
> > incorporation, perhaps your attorney will offer advice on
> which route to go.
> > From a tax perspective, you may want to consider naming it
> an S-Corporation
> > to avoid getting taxed twice.  C-Corporations pay income
> tax and dividends
> > paid to shareholders get taxed when they file.
> S-Corporation taxes are paid
> > through the shareholders.
> >
> >
> > Sincerely,
> >
> >
> > Donald L. Phillips, Jr., P.E.
> > Worthington Engineering, Inc.
> > 145 Greenglade Avenue
> > Worthington, OH  43085-2264
> >
> > dphillips@worthingtonNSengineering.com
> > (remove NS to use the address)
> > 614.937.0463 voice
> > 208.975.1011 fax
> >
> > http://worthingtonengineering.com
> >
> >
>
>