Real Estate Professionals - Is Your Business Structured Correctly?

Do you have an LLC? Are you running your business like a business or does your Broker pay your compensation checks out directly to your name? So many real estate professionals do not have LLC's set up or S Corps or even think to run their business like a business because no one showed them how.

Here's a little information on how to set up your LLC in the State of Colorado. In addition to this info you can also go to the Secretary of State Website for more. 

• Research and Choose a Name: Select a unique and distinguishable name for your LLC. Ensure that it complies with Colorado's naming requirements, which include using the terms "Limited Liability Company," "L.L.C.," or "LLC" in the name. You can check the availability of your chosen name on the Colorado Secretary of State's website. Be sure to check the Colorado Real Estate Manual for prohibited words in your real estate company name. 
• Prepare Articles of Organization: Complete the Articles of Organization form, which is available on the Colorado Secretary of State's website. Provide the necessary information, including the LLC's name, principal office address, registered agent information, and management structure.
• Pay the Filing Fee: The filing fee for the Articles of Organization must be paid online using a credit card, debit card, or a prepaid account. Accepted payment methods include Visa, MasterCard, American Express, and Discover.
• Submit the Form: File the completed Articles of Organization form electronically through the Colorado Secretary of State's website. Make sure to review the form for accuracy and completeness before submission.
• Create an Operating Agreement: Although not required by Colorado law, it is recommended to create an Operating Agreement for your LLC. This document outlines the ownership structure, management responsibilities, and operating procedures of the company. It is an internal document that helps establish clear guidelines for running the LLC.
• Obtain Necessary Permits and Licenses: Depending on the nature of your business, you may need to obtain additional permits or licenses at the local, state, or federal level. Research the specific requirements for your industry and comply with all necessary regulations.
• Maintain Compliance: Once your LLC is established, it is important to maintain compliance with Colorado state regulations. This includes filing periodic reports, paying any required taxes, and keeping accurate records of the company's activities.

Please note that these instructions provide a general overview of the process and should not be considered legal advice. If you have specific legal or business-related questions, it is recommended to consult with an attorney or business advisor for personalized guidance. I have great recommendations for Attorneys that do this. For additional information and resources, you can visit the Colorado Secretary of State's website here: Secretary of State

As always I am here for you to bounce ideas and collaborate with just reach out to me directly brandy@exitrealtymtview.com or call 719-373-9864