Business Banking - Yes or No
Hello Bigger Pockets Forum.
What are the Pro's and Con's (if any) of operating as a Real Estate Investor, via a Business Banking Account. Could this help, open opportunities or hinder, exclude us from other opportunities. Particularly from a newbie's perspective, as we grow and get the locomotive up to speed.
As I mentioned in the description, my partner are about to receive a sum of money, which we plan to use to buy real estate. We are not entirely sure where to hold it until the right property comes along - savings account, checking account, etc. Given that we plan to potentially establish an LLC through which to operate, we are exploring a business banking account.
We understand that we would have to register the company, receive the certificate, obtain Tax ID no. etc, before setting up a business account, should we go that route.
Our question is; Is there any value to investing in real estate through a business banking account (as newbies) or could this potentially have negative consequences - i.e. being refused an FHA loan, should it be an option for us to buy as individuals, but with the capital coming from our business account.
NB; we are hoping that the capital will cover our first purchase completely and then some. That being the case, the above concern would not be an issue. We are simply exploring the Pros and Cons of operating through a business banking account.
I look forward to your responses,
Best,
Brian Greenway.