Real Estate Investing: Do I Need to Register as a Business?
You certainly don’t have to have an office to get started in real estate investing and you’ll actually find you can begin with a lot less than most anticipate. However, there is a lot to be said for starting off right and it can save a lot of time and money later. Beginning your move into real estate investing with a separate business phone number, business bank accounts, a website and social media pages and incorporating at least as an LLC is smart. For a start it means a professional look and presence which can definitely help move things along faster due to the credibility it provides. It also means simultaneously building equity in your real estate investing business and gaining access to more funds through business credit. More importantly, incorporating your real estate investing business means keeping everything separate in case of emergency on either end. This means should your business ever be struck by a disaster your personal assets won’t be on the line or if you wind up in a divorce or personal law suit you won’t automatically face losing your business too. The good news is that registering a real estate investing business is now easier than ever. Most real estate investors should find that they can now register a C corp. or LLC online with their state of choice in a few minutes for as little as around $100. Those who want to really do it right and shore up any potential holes or who have partners can use services like Legal Zoom or enlist the services of an attorney to assist them. In any case it is hardly expensive and more than worth the investment.
Do you have to register yourself as a business to get started in real estate investing?