Specialist · Chicago, IL · Member since 2015 · 870 posts · 345 votes
Hello,
I would like to create a separate business identity without having to form an LLC or corporation.
Now, I only want to mask my identity from my tenants and contractors. I carry a 1 million umbrella policy and simply want to have checks issued from/to my "Doing Business As".
I own the units under my name only and may transfer them to a trust later on. There is no mortgage.
I am not interested in LLCs; they don't provide the protection many people think they give. They are useless to my particular case.
Have you done a DBA in Illinois?
Have you applied for a tax id or number doing this? Have you tried to get the home depot tax exemption by claiming you will resell the goods/property in case of a flip?
Can you get more than one separate bank account under your DBA?
Can the lease be on the DBA only or does it have to have my name?
Can the lease have a PO address or does it have to have my home address?
Real Estate Broker · Chicago, IL · Member since 2015 · 56 posts · 19 votes
9y
I just did an Illinois DBA and the route I took required it be connected to my corporation. Chase Bank allowed me to set up two additional accounts linked to my primary corporate account (rental income and security deposits).
Rental Property Investor · Shorewood, IL · Member since 2016 · 80 posts · 46 votes
9y
@Frank S., I'll echo @Kenneth Garrett to go check out Mark Kohler on YouTube (www.youtube.com/user/MarkJKohler/videos). I've attended both an in-person seminar and also an 8 hour webinar on all aspects of wealth management. He is a CPA and Tax Lawyer. He's not cheap but you do get what you pay for. I'm preparing to sign up with his CPA as well as estate planning services this week.
I setup the DBA just to open the bank accounts under a business name with plans to migrate to LLC's and Trusts next year. We just closed on our first turnkey buy&hold property last week in the South side of Chicago.
Investor · San Diego, CA · Member since 2015 · 90 posts · 89 votes
9y
This is a a great topic! Haven't seen it much on here.
@Frank S. can you let us know what happened? We are thinking about doing the same thing here in CA. We are too small to deal with all the costs and hassles of an LLC, but like the idea of a more professional presentation with a DBA and using separate everything for accounting purposes. Our accountant liked the idea too, although I think it might cost us a bit more in taxes. We think we are going to get an EIN number, though I'm not sure we need one.
Anyone have any additional insight or have experience in going the DBA route instead of the LLC?
Specialist · Chicago, IL · Member since 2015 · 870 posts · 345 votes
9y
In Illinois, the DBA is a nickname. However, you can get a separate tax number, apply for a resell certificate, and get separate bank accounts. It costs $50.