Can I hire my own C-corp to manage a property I personally own?
Hi Everyone,
My wife and I just incorporated and are still getting everything established for the corporation. After much research, we went with a C-corp over an S-corp. Anyway, my wife owns a home in New Mexico (we live 9 hours away in San Antonio) and uses a property management company to handle everything. We'd like to start getting everything run through our new corp's checking account, including rental payments coming in and the mortgage payment going out.
In order to do this, do we need to establish some sort of contract between us, the owners of the home/mortgage and the corporation, which of course we are also the 100% owners? I then assume that with this document, we could get the property management company to redo their contract with the corp, instead of my wife personally.
In other words, what is the best way to transition the cash flow out of our personal accounts and into the business's?
Also, are there implications of the corp doing business out of state? We incorporated here in Texas, and the house/property management company is in New Mexico.
Sorry for the long explanation, but we're in a bit of a unique situation for newbies. Welcoming any and all thoughts on the matter.
Thanks!
Aaron and Trish