New LLC/S-Corp establishment advice

[Rhett Z Begley]

Good afternoon everyone! My wife and I are moving to Virginia in three months and will start flipping houses when we get there. We’re getting an LLC and S-Corp set up now so we can hit the ground running when we get there. We’re planning to use the S-Corp for the flips (we don’t plan to make enough money the first year to actually reap the advantages an S-Corp provides, but you never know) and the LLC is for our longer term cash flowing holds. We’re looking for advice on what to look for when establishing LLCs and what to look for when selecting a bank for establishing a business account after receiving our TIN. Any other “I wish I had done this or that when I first started...” comments would be much appreciated. If this topic has already been covered, a link to a blog post or specific podcast episode would be appreciated as well. Thanks everyone! Best, Rhett

[Nathan Oberle]

It sounds like you are planning on having two separate entities? That doesn't seem necessary. Also you can elect S-corp status at a later date if/when it does become advantageous. Starting an S corp now will just increase your administrative burden and tax prep fees.