Hello! I am looking for advice on investing in my first flip out-of-state. I am investing with a family member, who lives in FLA, in an all cash deal for a condo. The reno will take 60 days. My question is how I set it up/structure it so i can take appropriate right-offs. If this one works, we plan on doing several others per year. Below other the options i think are available to me:
a) Just cut him a personal check? If so, can I still book right-offs/expenses against it like travel, phone, etc?
b) Form a CT LLC (s-corp?) to do it? if so, do I still have to register in FLA
c) Form a FLA LLC (s-corp?) to do it? if so, do I still have to register in CT
My advice, don't get involved with family or put everything in writing first and make a business plan and outline each other responsibilities and exit strategy. You have to treat this as a business.