Do I need a LLC to begin wholesaling?

Question

Hello, my name is Gary Hazard.  This is my first post.  I'm a starting out newbie investor from the south jersey area.  I have tons of questions but I'll just start out with one.  Do I need a LLC to start wholesaling?  A friend of mine said never use my name for tax reasons but  I dont have the money for a LLC.  What do I do??????  Please respond!!!  Thank you

Delondon Dear · Answer

I would say get a deal or 2 under your belt. Use that money to get your llc started as well as more marketing materials.

Michael Quarles · Answer

Most would tell you that the idea of the LLC is for liability protection and when wholesaling, typically what is taking place is an assignment of the contract therefore the end buyer is the one who would need the entity.

And I have always been told for flipping (wholesaling) a Sub S corp. is the entity of choice whereas on buy and holds the LLC is vehicle to use.

You may consider a simple trust agreement and if you need one let me know and I will send it to you..

Delondon Dear · Answer

@Gary. Thanks man. I like to be me. I like to think that my style of presenting informative content is far different to others. I actually just had a litter of 10 blue pups. They are selling like hot cakes. I love pitbulls bro. I figured that I put one of my dogs in the video.

That was actually one of my very first videos. And about the jacket... I still laugh when I see that video. Thanks for the props bro. I see you still making moves.

[LINK REMOVED]

Gary Hazard · Answer

@Delondon Ive watch your youtube videos, matter of fact you were like one of the first people to explain wholesaling when I first heard about it.  You funny,lol.  Thanx man.  Yeah Im going to try to do some direct marketing tomorrow.  Im waiting for you to post some new videos up.

PS I like that pitbull you have, I have one myself.

PPS I like that Jacket too!!  lol

Gary Hazard · Answer

Thank you Michael.  So all I need to is just put my name in the contract?  Now I have a couple of contracts, and i dont know which one to use because i dont understand them.  Some are from the Maryland are others are from different wholesalers that created their own.  If you can send me one and explain it to me, it'll be greatly appreciated.

Gary Hazard · Answer

Really wow!!!!  Thank you very much!!!!  Now, when I start wholesaling deals, is it best to get a LLC?  What are the advantages?

Jeff S. · Answer

You absolutely do not need an LLC to wholesale properties, Gary.  A sole proprietorship (i.e. your name, no entity) is perfectly legal and acceptable.

Don't make this more complicated than it needs to be.  You're first, second, and third  priorities are to find viable deals.

Jeff

Do I need a LLC to begin wholesaling?

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