Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime
Starting Out
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 6 years ago on . Most recent reply

User Stats

89
Posts
56
Votes

Should I open a Business Account when house hacking?

Posted

Hello BP! I'm house hacking my first property In Rochester NY and basically trying to see your opinions on the following questions/topics. I know doing an LLC whole house hacking is not a good idea based on other post but I'm still wondering about these two.

1) Can I even open a business bank account without an LLC and have all my income and outflows from that account? If I can do you think is worth it?

2) When doing business bank account would you go with a big bank (chase, boa etc), online bank only (axos, azlos,etc) or local credit union?

Thanks!

Most Popular Reply

User Stats

91
Posts
59
Votes
Mark W.
  • Investor
  • Rochester, NY
59
Votes |
91
Posts
Mark W.
  • Investor
  • Rochester, NY
Replied

Couple options here. You could open up a 2nd personal checking account and just keep finances separate. Or you could file a DBA (doing business as) form with county for ~$20 and then take that to your bank of choice and open up a business account.

I stay away from the big banks as those tend to be laden with fees, especially with business accounts. Locally, ESL is pretty friendly and fee-free for both personal and small business accounts. And if you're a sole proprietor DBA they'll let you link the accounts so you can transfer money bank and forth as needed.

Would not recommend online only.  As you grow you'll need to handle all forms of payment -- cash, checks, money orders -- and that's easier to deal with at a local branch.

Loading replies...