Hello, Just wondering if anyone has any comments as to whether it is useful to start a business and purchase properties (or use any of the positive cash flow strategies) through the business name, or to do it privately – any pros/cons?
Thankyou!
I just buy properties in my name. I dont see why you need a business name unless you want to do wraps or something like that to attract people to you.
Thanks Yack. I was thinking about tax benefits primarily…. (tax = one of the many areas my knowledge base needs expanding…)
I think the tax benefits are same.
Julain
THERE IS ALWAYS A BETTER WAY!
Dono,
An individual can have a business name, although the legal entity is still, you, as an individual ie personal income tax`rates
A company can have a business name, the legal entity is the company, and is taxed accordingly. 30% corprate tax rate
Ultimately, it is the type of legal entity that dictates the tax treatment.
Trusts are probably the best answer if you want to structure yourself for future IP purchases. But it depends on your personal goals and circumstances.
James
Hi Dono
For some ‘education’ on entities (specifically trusts) check out Trust Magic from http://www.gatherumgoss.com It’s a great, easy to read manual.
Cheers
Mel
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