I have a partnership I want to transfer into an LLC. Can I just transfer the Partnership to the LLC and keep the partnership alive, or do I have to transfer the partnership percentages to the LLC. i.e.- the ABC LLC would own the ABC Partnership, or does it have to be that ABC LLC has a 50% owner in Jane and a 50% owner in Bob.
I would do the safe thing and contact a local RE attorney.
Jason, your response hardly answers this question. We all know that competant professionals should be consulted on legal and tax matters as they pertain to our businesses, however, there are many RE investing experts here on BP who could give immediate answers to questions such as this. If you do not have one, simply move on to a question you can answer.
To answer the question, if your partnership is under a DBA rather than a business entity, and you want to create an LLC, you will need to form the LLC (preferably in the state you do business in) and each partner (BOB & JANE) would own respective %'s of the LLC. The DBA would be closed. If you intend on keeping the same business name, you do need to run a search to check availablity of that name in an entity. If it is already taken, you will have to choose another name in most cases.
And of course, consult with your attorney to properly structure the entity and perhaps create it.
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