Has Anyone Worked With Nevada Corporate Headquarters Inc?
they suggested i
1. form a qualified personal residence trust
2. put my 3 investment properties in a land trust
3. make the beneficiary of the land trust a Nevada LLC
4.make the cash flow through the LLC into
4.a. nevada corporation registered as foriegn in CA
4.b. nevada heaven shield corporation
5. make an Limited Liability LImited Partnership between 4a and 4b.
6. living trust
they wanted $22k for this and were willing to discount it to $17.5k if i signed up immediately.
sounded a little like overkill to me.
any suggestions, comments???
What are you goals for doing this and what size of business are you as in how many properties. If you are doing this all for 3 properties is is WAY over kill in my opinion.
thanks for your response.
i'm mainly doing this for asset protection. i have under 100k in equity in my investment properties and in future i might be flipping properties (between 20-50k per property) and getting some consulting fees(under 50k/yr).
This certainly sounds like overkill in your situation and is further evidence of why it's best to run as fast as you can away from Nevada quasi-legal operations.
I don't know how much your net worth is. If your net worth is $50 million, the plan MIGHT make sense. If your net worth is $100-$300,000, then it certainly doesn't. Period. End of story.
Your state probably has many creditor exemptions that apply automatically and without a fancy plan. For example, your own residence should be protected to a great extent. Your retirement accounts are probably safe too. You can use simple LLCs to hold property. If you're really concerned, use a LEGIT family limited partnership to hold the LLC membership interests.
And seriously, if you only have $100,000 in equity, the best solution for you is a good insurance policy. It's possible nothing more is needed.
I'm glad you asked for second opinions on this forum. I'm an experienced asset protection attorney in Arizona so hopefully you'll trust me when I say: Don't fall for the scare tactics at Nevada Corp!
I thoroughly second what lawyer TBouman said.
You'd be MUCH better off, with much more reasonable fee with a lawyer with a corporate practice, more in the range of several hundred dollars, to get you properly "inc'd" in either CA or whereever.
Plus you'd be getting his/her professional advice which might be more valuable than the mere new corp. entity.
As you know CA (and also NV as I hear it) have upped their corp fees so it's no longer any great deal to inc. in either state.
thanks for your replies. i knew i could count on some
great advice from you guys