C Corp (management company)... LLC's for actually holding companies?

4 Replies

Hello team!
I realize most of us are not attorneys; however, I'm curious how you set up your individual businesses?I'm looking at it from an asset protection, and business standardization framework.

---- I'm looking at creating a C-Corp for my Property management company (or LLC)

---- When I purchase additional properties, I'd like to consider purchasing them in individual LLC's

Can one purchase properties in personal names, but then run properties thru a management company; thereby, having some form of asset protection (running the $ thru a C-Corp).

Just curious if any of you agree/disagree with this approach? Again, I understand that I'm not receiving legal advice.. just looking for the counsel of fellow real estate investors.

Thank you!


I'm anxiously waiting to see some response as I am in a similar position. I own my properties in an LLC but I'm also building a management business that I suspect should be a separate LLC. Then I plan to expand my wholesale/retail fix/flip business which I believe should be in an S-Corp. I'm thinking that all of this should be put together under a C- Corp but I am unsure yet.

If you are looking for asset protection get a good insurance policy and forget about all the guru hype on LLCs, but you can set up an LLC, but it will not protect you when you are sued.

Joe Gore

@Tom Henderson  

My wife and I have set up S corps for our businesses, she runs a realty company doing property management and i have a contracting company. The tax benefits work toward our advantages, we both get regular paychecks from our companies. We also hold our properties in LLC's, some say they don't mean anything but its just what we were advised to do by our attorney and accountant.

Appreciate your note @Eric Doud. Great feedback.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here