We would like to learn more about Notary Index Crime Enforcement Regulatory forgery proof legal documents to stop the greedy thieves and trustees who steal our legacies please.
What would you recommend for someone to do, who is just starting up a landscape company? I am a sole proprietor and looking to form into an LLC but with literally zero dollars to put forth as a start up.. im literally starting from scratch with only around 4 to 5 months of personal credit history.. I think i could get everything going with as little as 10k but have no idea where to even start looking for either help with start up costs, equipment ect. ??
When we distribute from from out business and contribute it to our LLC when we wrote the check does it come from the business account or do we put it in our personal account then contribute it to our LLc?
Thank you for the great video. Do you happen to have any presentations on how to handle the start up contribution from the LLC member/s upon repayment? How is the transaction accounted for on the books of the LLC if it is an S Corp and how is it accounted for in the 1040 of those receiving the distribution? Many thanks!
What makes an LLC a “ Holding LLC” per se? And how do we ensure that we don’t pierce the corporate veil if we’re contributing for the down payment and closing costs for a purchase on a rental property that will be purchasing under the LLC with a DCR loan
Why you put "buy a house" as Nbr 6? it sounds acctully to be the best - will work long term, will never fail, it is not lost money since you have the real estate and you can sell it later or rent it out -
Very helpful! Thank you, sir. I plan to unwind past owner contributions over the next year using the owner distribution method. I'll place those distributions in my Wyoming LLC and loan them from this point forward. Sounds like a great technique to reduce exposure. Thanks loads.
Hi! Thanks for your video! I have a question, I formed my new LLC in Wyoming but when I try to open business checking account bank worker told me that if Iam going doing business in Oregon I need to register my LLC as a foreign company in Secretary of State of Oregon. What are the risks for my company? Everyone can see beneficiaries? How I can protect myself? What do you think? Thank you!
@@DmitryDvoretskiy The virtual address may be an issue for the bank. Probably need to try a different bank or ask to speak to a business banking specialist.
Yes, it is very similar, but debt and an S-corp can be a bit tricky. When encumbered assets (those with debt attached) are contributed to an S-corporation, you will not receive a basis increase for the debt-financed portion of the asset you contribute. This difference matters because basis is important for determining taxable gains or losses later. For example, a lower basis can result in higher taxable gains when you take distributions from the S-corp in the future. This can create unexpected tax implications down the road when you're withdrawing money from the business. Debt is also a complex area when an S-corp borrows against its assets. For instance, if you refinanced a property in an LLC (treated as a partnership) and then distributed that money to yourself as the member of the LLC, those distributions would generally not be taxable because they are treated as a return of capital. However, with an S-corp, the rules are different. If the S-corp distributes borrowed funds to its shareholders, those distributions are considered taxable because they are treated as income rather than capital. These distinctions can make debt management and structuring more challenging in S-corps compared to other entities like partnerships or LLCs.
8:30 you mention that the LLC lending the $720K doesn't have the person's name on it. What do you mean by that, if you could elaborate further, please?
You want to establish an anonymous LLC to keep your connection to the company private and protect your personal information. This type of structure ensures that your name is not listed publicly with the Secretary of State as a member or manager of the entity. By maintaining this level of anonymity, you can operate the business discreetly while safeguarding your privacy and minimizing potential exposure to unwanted attention or legal risks..
@ClintCoons If I understand you correctly, the charging order can be for up to the current basis. The less contributions and the more distributions, the less they can go after. Is that correct?
Clint thank you for the video I did learn a lot 1 question if I own a property in Texas and I want to protect it and put it in a C crop are an LLC just do it as a contribution should I have that LLC are C corp owned by a Wyoming LLC There is no loan on the property
typically we would set up a WY LLC that will own a TX LLC. The TX LLCs will be disregarded to the WY LLC that will either be a partnership or disregarded.
This is definitely cool, but its even cooler when you realize the very agreement lenders into in with you depends on OUR VALUE and not there's? In fact, most lending agreements are not actually LEGAL due to the issue of consideration in contracts. They use our social security number and signature to gain value from us then let us borrow against our OWN VALUE! A mentor had over 2 mil in debt and went to court and beat almost ALL OF IT! Will send legal documents if needed.
How would you structure if you want your business to contribute to a large down payment on the property and your contribute a small portion as an individual ?
Great question, to assist you further, I highly recommend you request a free 45-minute consultation to discuss this with my team so we can provide you with an answer that is unique to your situation. Visit: aba.link/dot
Once again, very good and useful information. Question: Would the WY LLC be a single-member LLC or multi-member, which is preferable for asset protection?
Yes it is call re-domestication. If you would like a FREE 30-minute consultation, you can request one here - aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
Clint, I'm closing an LLC and want to transfer the funds (about 30k) to another existing LLC. Would I take it out as a distribution and then put it into the other as a contribution? I don't just wire it from the closing LLC to the other?
If I make a loan with a 99 year deferment/forbearance period, would that make it easier for a potential creditor to pierce through the corporate shield by saying it’s not a realistic loan
Yes, because in that case it would not be an actual loan. If you treat each legal entity as a separate legal entity, you will avoid almost all problems. If Company A would never actually lend money to Company B under those terms, then the courts will likely consider them to be the same entity, if there is a legal issue. If the loan from Company A is a regular business loan and makes financial sense, and Company B that has taken the loan has the capitalization and cash flow to actually repay the loan under the terms, the ownership of the companies doesn't matter. They are separate legal entities engaged in an above board transaction. Here is a quick way to think about it. If you would never take an action between Company A and Company B, unless you owned and controlled both, then you run the risk of piercing that corporate shield.
You know planning everything correctly the crazy thing about the strategy that you just shared also demonstrates that it’s an alternative way to set your own interest rates on your money! Meaning maybe the average going rate would be 4-5% for that 720K loan But you want that cash earning 8% interest, so you right the note/loan for the 8% interest rate, then later refinance the loan, the new bank/lender pays you back everything and if you wanted to you could even legitimately find a way to crash the business entity enough to file bankruptcy on the new lender/loan and walk away a serious winner!!😂🤷🏽♂️😬🤦♀️😉👍
Is there companys that just go around and sue businesses? All these business videos make it seem like being sued and losing that law suit is just inevitability, like these suits dont even need some claim of wrong doing towards your llc that can be liagated. You just merly have to exsist.
Would you like to learn more about this topic and talk to someone? Schedule a free consultation here: aba.link/dot
We would like to learn more about Notary Index Crime Enforcement Regulatory forgery proof legal documents to stop the greedy thieves and trustees who steal our legacies please.
@ClintCoons thank you very much Clint!
My wife and I currently own two rental houses. We are planning on getting a LLC soon. Thanks for the information.
You are truly exceptional, Clint! Thanks for another informative and valuable post!
glad you enjoyed the video
This is GOLD!!! Amazing video sir.
Much appreciated!
Everytime you get out his videos a lot of benefits. Thank you for sharing your knowledge
I appreciate that!
What would you recommend for someone to do, who is just starting up a landscape company? I am a sole proprietor and looking to form into an LLC but with literally zero dollars to put forth as a start up.. im literally starting from scratch with only around 4 to 5 months of personal credit history.. I think i could get everything going with as little as 10k but have no idea where to even start looking for either help with start up costs, equipment ect. ??
excellent explanation!!!!! very clear, thank you
Glad it was helpful
When we distribute from from out business and contribute it to our LLC when we wrote the check does it come from the business account or do we put it in our personal account then contribute it to our LLc?
Thank you for the great video. Do you happen to have any presentations on how to handle the start up contribution from the LLC member/s upon repayment? How is the transaction accounted for on the books of the LLC if it is an S Corp and how is it accounted for in the 1040 of those receiving the distribution? Many thanks!
Distribution will reduce your capital account or basis in your S-Corp.
How critical is making the UCC1 filing?
Very if you want to be considered a secured creditor.
What makes an LLC a “ Holding LLC” per se? And how do we ensure that we don’t pierce the corporate veil if we’re contributing for the down payment and closing costs for a purchase on a rental property that will be purchasing under the LLC with a DCR loan
Thank you Clint!
Do you have videos on how to CLOSE an LLC? 🤔
Check out this video ruclips.net/video/h3gUgzn4OKU/видео.htmlsi=blfNkGLRsj5m4hEO
@ClintCoons perfect! Exactly what I was looking for.
@@ClintCoons Do you have one on the NICER Permission Ledger Interdiction Living Trust?
Is the Loan company in WY the same as the holding company of the local state LLCs?
I would use a separate LLC
Why you put "buy a house" as Nbr 6? it sounds acctully to be the best - will work long term, will never fail, it is not lost money since you have the real estate and you can sell it later or rent it out -
Very helpful! Thank you, sir. I plan to unwind past owner contributions over the next year using the owner distribution method. I'll place those distributions in my Wyoming LLC and loan them from this point forward. Sounds like a great technique to reduce exposure. Thanks loads.
You are welcome.
Clint, in the loan scenario, what is the reason of the 10% contribution? Why not make it 100% loan and 0% contribution? Thanks!
To avoid the risk a creditor argues your LLC was undercapitalized thereby allowing a court to pierce the veil. Great Question!
@@ClintCoons got it. Thank you!
Is there a certain/minimum amount that prevents a creditor from being able to argue the entity was undercapitalized?
Don't put all your eggs in one basket. You will need fiat or other ways to have funds at hand
Hi! Thanks for your video! I have a question,
I formed my new LLC in Wyoming but when I try to open business checking account bank worker told me that if Iam going doing business in Oregon I need to register my LLC as a foreign company in Secretary of State of Oregon. What are the risks for my company? Everyone can see beneficiaries? How I can protect myself? What do you think? Thank you!
I think your banker is wrong. Did you provide a local OR address to the bank when opening the account?
@@ClintCoons yes, I provide my virtual mailing address in OR
@@DmitryDvoretskiy The virtual address may be an issue for the bank. Probably need to try a different bank or ask to speak to a business banking specialist.
Since you are doing a loan from WY LLC to another LLC, do you usually include in the terms a %APR interest rate or not?
Id say yes, treat it like a loan to anyone else.
Yes you do.
@@ClintCoonsquestion is when you loan to your own company, your income tax is there any difference? For me I feel just one pocket out to another,
@@zhangjenny6938 Correct it is a wash
Is this all applicable to an Scorp as well?
Yes, it is very similar, but debt and an S-corp can be a bit tricky. When encumbered assets (those with debt attached) are contributed to an S-corporation, you will not receive a basis increase for the debt-financed portion of the asset you contribute. This difference matters because basis is important for determining taxable gains or losses later. For example, a lower basis can result in higher taxable gains when you take distributions from the S-corp in the future. This can create unexpected tax implications down the road when you're withdrawing money from the business.
Debt is also a complex area when an S-corp borrows against its assets. For instance, if you refinanced a property in an LLC (treated as a partnership) and then distributed that money to yourself as the member of the LLC, those distributions would generally not be taxable because they are treated as a return of capital. However, with an S-corp, the rules are different. If the S-corp distributes borrowed funds to its shareholders, those distributions are considered taxable because they are treated as income rather than capital. These distinctions can make debt management and structuring more challenging in S-corps compared to other entities like partnerships or LLCs.
Is a Wyoming LLC any different than any other States LLC that you live in when you want to contribute to another LLC that you already own ?
Yes you can contribute an existing LLC to a WY LLC for added protection.
8:30 you mention that the LLC lending the $720K doesn't have the person's name on it. What do you mean by that, if you could elaborate further, please?
You want to establish an anonymous LLC to keep your connection to the company private and protect your personal information. This type of structure ensures that your name is not listed publicly with the Secretary of State as a member or manager of the entity. By maintaining this level of anonymity, you can operate the business discreetly while safeguarding your privacy and minimizing potential exposure to unwanted attention or legal risks..
@@ClintCoons Understood. Thank you for the extremely insightful video!
In a lawsuit, do they go against your total contribution up to date, your initial contribution only, or your current basis?
A charging order will attach to your entire interest and any distributions you take from your LLC will be used to satisfy it.
@ClintCoons If I understand you correctly, the charging order can be for up to the current basis. The less contributions and the more distributions, the less they can go after. Is that correct?
@@ClintCoons can you please confirm I understand that correctly?
Clint thank you for the video I did learn a lot 1 question if I own a property in Texas and I want to protect it and put it in a C crop are an LLC just do it as a contribution should I have that LLC are C corp owned by a Wyoming LLC
There is no loan on the property
typically we would set up a WY LLC that will own a TX LLC. The TX LLCs will be disregarded to the WY LLC that will either be a partnership or disregarded.
Can you take a distribution from the Noname
LLC when your name isn’t there in it?
Yes because you are the member.
This is definitely cool, but its even cooler when you realize the very agreement lenders into in with you depends on OUR VALUE and not there's? In fact, most lending agreements are not actually LEGAL due to the issue of consideration in contracts. They use our social security number and signature to gain value from us then let us borrow against our OWN VALUE! A mentor had over 2 mil in debt and went to court and beat almost ALL OF IT! Will send legal documents if needed.
How would you structure if you want your business to contribute to a large down payment on the property and your contribute a small portion as an individual ?
Great question, to assist you further, I highly recommend you request a free 45-minute consultation to discuss this with my team so we can provide you with an answer that is unique to your situation. Visit: aba.link/dot
great explanation . but does this is mean one would be paying double in taxes from two different LLCs?
Not at all
Fire video🔥! Is it safe to do small purchases from one LLC to another LLC using a credit card with a PN properly recorded?
Yes you can if you document, have good books and track it properly.
@@ClintCoons thank you kindly!
Which state is best to open a LLC as independent insurance agent building up an agency soon ? My home state is FL but I’m licensed in most states.
Florida because you live there and you will be on payroll requiring you file in the state.
Thank you for sharing that important information that I am sure will save thousands (if not millions) to several people.
What about the properties we already purchase in cash and did exactly the way you said: Contributing directly. Can we change that with a new WY LLC?
Yes.
Thanks Clint. I will pass this along to my team in Anderson to see what I have to do.
Once again, very good and useful information. Question: Would the WY LLC be a single-member LLC or multi-member, which is preferable for asset protection?
Either works. The decision comes down to the purpose for the LLC I.e., will it hold real estate LLCs or financial assets.
What if it’s a holding company that will hold both; real estate LLCs and business/investment LLCs?
Can you move an LLC from a different state into Wyoming?
Yes it is call re-domestication. If you would like a FREE 30-minute consultation, you can request one here
- aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
I am looking for a new accountant, any suggestions in Indiana?
We provided services nationwide.
Clint, I'm closing an LLC and want to transfer the funds (about 30k) to another existing LLC. Would I take it out as a distribution and then put it into the other as a contribution? I don't just wire it from the closing LLC to the other?
Yes that is correct. Distribution then contribution.
Clint - if you play chess, I want you on my team
If I make a loan with a 99 year deferment/forbearance period, would that make it easier for a potential creditor to pierce through the corporate shield by saying it’s not a realistic loan
Yes, because in that case it would not be an actual loan.
If you treat each legal entity as a separate legal entity, you will avoid almost all problems. If Company A would never actually lend money to Company B under those terms, then the courts will likely consider them to be the same entity, if there is a legal issue.
If the loan from Company A is a regular business loan and makes financial sense, and Company B that has taken the loan has the capitalization and cash flow to actually repay the loan under the terms, the ownership of the companies doesn't matter. They are separate legal entities engaged in an above board transaction.
Here is a quick way to think about it. If you would never take an action between Company A and Company B, unless you owned and controlled both, then you run the risk of piercing that corporate shield.
@@danielhurst8863 thank you for that explanation, now I understand
You know planning everything correctly the crazy thing about the strategy that you just shared also demonstrates that it’s an alternative way to set your own interest rates on your money! Meaning maybe the average going rate would be 4-5% for that 720K loan But you want that cash earning 8% interest, so you right the note/loan for the 8% interest rate, then later refinance the loan, the new bank/lender pays you back everything and if you wanted to you could even legitimately find a way to crash the business entity enough to file bankruptcy on the new lender/loan and walk away a serious winner!!😂🤷🏽♂️😬🤦♀️😉👍
❤
Is there companys that just go around and sue businesses? All these business videos make it seem like being sued and losing that law suit is just inevitability, like these suits dont even need some claim of wrong doing towards your llc that can be liagated. You just merly have to exsist.
Why contribute anything? Why not just make the whole amount a loan?
You run the risk it is under capitalized