Can I use same LLC for different business?

[Account Closed]

I created a LLC for my clothing business several years ago, and recently decided to shut that business down. Can I use that LLC for my real estate business now?

[Mike S.]

Sometimes it is better to severe all relation to a prior entity to avoid any delayed liability. Also, the operating agreement of your prior LLC is probably not focused on your new activity and would have to be rewritten.

For all these reasons, and due to the low cost of creating an LLC, I would probably start a new one.

The only reason for me to keep an old one, would be for credit worthiness purpose, but if you change activity, lenders won't be fooled by it either.