Business/partnership structure for newbies

[Ethan Perry]

Hello all,

My friend, @Austin Kanode and I are starting a rental / flip business in 2021.  I have a couple of questions and would appreciate some insight.

My partner and I will be 50-50 owners of the business and want to have that in writing. Is it wise to work with a real estate attorney who can help us draw up a partnership agreement or is that something that we should do on our own? Also, for a simple partnership like this, will an LLC suffice or is there a different type of business structure that might be worth considering?

I greatly appreciate any feedback!

Thanks

[Bill Hampton]

Ethan, 

If you are going to do rentals and flips you should have two separate entities for tax purposes. Rentals and flips are taxed differently.