Going into business with a family member

[Sue K.]

My brother and I want to invest in multi-family properties for buy & hold/cash flow. We have been advised to form an LLC. At least initially, I would be searching for deals and doing the management. We are going go slow with a duplex or four family. Any tips or advice about going into business with a family member?

[Andrew Syrios]

I work with my dad and brother and for the most part it has been great. I would advise that even though you are family, you should still get all the proper documents filled out and write out the business plan and delineated responsibilities. It's good to have something to fall back on because things will get testy from time to time. I would also only recommend doing it if you are both on good terms and relatively level headed. And try to keep business and family time separate although you will inevitably talk about business together even if it's not during normal work hours.