Which Entity For Family Investing?
My dad recently died and left me in charge of some funds for the grandkids - I decided that the best option right now is to buy tax certs in Florida. I live here so I can thoroughly research the property the certs are for before buying to make sure they are good risks.
My questions -
What is the best sort of entity to register for this - I was thinking a family LLC maybe?
How would I go about protecting the kids money as I do not want my siblings to have any access as it is meant for the children's college.
I have an appointment with some attorneys on the topic but I wanted to have some clear ideas of different routes so I can get a better idea of whether the attorney is knowledgeable or not
Forget for a minute the question about best vehicle for investing. Get an answer to what is the best way for the grandchildren to hold assets.
There are different forms of trusts with different benefits. Some provide specific assistance for later educational expenses, etc.
Once you have the right vehicle to protect the children's interests then you might have the answer to what the vehicle will be for investing.
I see your question as more of an estate or family planning issue so speak with someone who handles such things. In my case the person I use is a tax attorney with an extensive RE background so I was able to cover all the angles with one person.
John
[addsig]
Thanks. I had consulted with 3 estate planning attorneys who told me it was best not to create a trust as the sum for starting investing was small - less than $5000 in this case. In each case the cost to do the trust was at least $2000 so they advised that it just was not worth it. I will call around to some more attorneys to see what they say. I have found that around here dealing with estate planning attorneys is very discouraging if you do not have several hundred thousands at least.