Should you form a LLC immediately?
Greetings BiggerPockets 🌎,
I am a newer investor in real estate and I am currently working on obtaining my next deal. In order to complete the deal I have to team up with a few individuals, which will be our first time working together. They are very trustworthy and we plan to do many deals together in the future. However, we are contemplating if a LLC is necessary at this point in time? I have spoken with several investors who advised me that a LLC is essential, however it is not needed, especially in the beginning. On the other-hand, I have spoken with a hard money lender who advised that I should have a LLC formed at the time of closing.
So my question is: should we form a LLC for our first deal (considering the expenses & the management factor of a LLC)? Or should we get a deal or two under our belts and then form the LLC once we've gained more experience?