Title Property In Sole Proprietors DBA After Putting It In Trust? Possible?
Hi everyone. If I wanted not only privacy of assets owned but also to build company credit seperate for investment purposes can I (after putting property in land trust) have the beneficiary be a DBA name of a sole proprietorship? Does the business have to be incorporated to build business credit and does it make sense to add an asset to a company like this in order to give it more net worth and therefore more legitimacy and credibility? Thanks.
Business credit is a whole other topic. You should search for business credit forums (outside of the scope of this web site altogether). You can have the beneficiary be whatever you want. In short DBA will not help you build biz credit. It will still be credit personally guaranteed by you. A corporate credit is something total different. However, when it comes to borrowing cash or for real estate transactions, unless it is a non-recourse loan, banks will ask you to guarantee the loan personally. To get a non-recourse loan, the property has to have a good financial history showing cash flow and at least 2 years of financials and tax returns. Same for the company.
Another exception is hard-money lenders. They only look at the parameters of the property as it is (with or without the casflow).
Just google business credit forums.
Thank you. I will try that direction.