Entity Structure- 2nd Real Estate Brokerage Company
What do you think is the best way to structure a second real estate brokerage company?
Background: I have a Florida real estate brokerage company (an LLC that has elected to be taxed as an S-corp) that is 100% commercial real estate focused. We do quite well in our market. I pay myself an annual salary and have 2-3 hourly employees along with a growing group of agents (ICs). I am affiliated with a top ten commercial real estate company and run an office in tertiary Florida market. The franchisor does not want residential real estate transaction run through the brand and I agree with that philosophy.
However, I personally invest in residential rental properties and know I can easily grow a separate company that will handle residential real estate brokerage transactions and residential management assignments.
Due to Florida Real Estate rules, I can't have two DBA attached to the LLC that is the current brokerage corporation (the commercial firm). An entirely separate entity will be needed and brokerage corporation will be needed.
To start the residential firm will be a single member LLC but may turn into a partnership in the near future. What do you think is the best way to structure this? Create a new, separate single member LLC to handle the residential transactions? Or create a new LLC that is owned by the existing LLC that is already an FL real estate corporation that has made the S-Corp election? Any other ideas?