STR Business & Real Estate Holdings

1 Reply

Hoping to get some advice on how best to structure my business, and welcoming any and all feedback. 

Currently own & operate 5 of my own properties as short term rentals.  Also operating 5 properties for other people, and taking a percentage of revenue.  Right now, the ownership of the properties and all operations for both our own and other properties are going through a single business entity.

The primary concern I have, and I'm not sure if it's valid, is that we could put our own properties at risk if something were to happen with a property we are managing for other people. So I guess the legal question here is whether this is a valid concern and if a different structure would mitigate this risk?  

@David Bergmann

You should separate the businesses in different entities for both legal and tax reasons. From an accounting perspective, it is important to keep separate sets of books for the different businesses.