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Insights, guidance, and answers for global real estate investment, company formation, and business growth.
Global Real Estate FAQ
The minimum investment starts from $50,000, depending on the selected opportunity and project structure.
Yes. Our real estate investment opportunities are available to qualified international investors, subject to the requirements of each project and jurisdiction.
Opportunities may include selected residential, commercial, and other high-value real estate projects based on availability and investment potential.
Initial Mile provides access to global real estate investment opportunities. Available markets may vary depending on current projects and carefully selected investment opportunities.
The process begins with identifying suitable opportunities, reviewing the investment structure and project details, completing the required due diligence, and proceeding with the investment once the opportunity is approved by the investor.
Opportunities are carefully reviewed based on factors such as stability, growth potential, long-term value, project structure, and overall investment quality.
Company Formation FAQ
Incorporating is essential to the success of any business. The process of incorporating entails the preparation of certain documents, including a document referred to as the “Articles of Incorporation,” and filing the documents with the Secretary of State. (For an LLC, the main document used to incorporate is referred to as the “Articles of Organization.”)
Below is an explanation of why it is necessary for every business to incorporate. The primary advantages of incorporation are discussed, as are the risks involved in operating an unincorporated business.
Shield yourself from liability
The most important reason to incorporate your business is to protect yourself from business liabilities. If you are operating an unincorporated business, its creditors may be able to reach your personal assets. Assets such as your personal residence and personal bank account can be used to pay business debts or to satisfy a lawsuit against your business. If you incorporate, business creditors cannot reach your personal assets, as an incorporated business and its owners are separate entities.
Establish perpetual existence and transfer of ownership
Perpetual existence is an advantageous aspect of an incorporated business. Perpetual existence means that the life and continuation of the business will not be affected by the withdrawal or death of one of the owners. An unincorporated business’s existence, as well as its operation, is generally disrupted by the withdrawal or death of one of the owners. Subtract this risk from your business by incorporating.
Similarly, the ownership interest in an unincorporated business may be very difficult to transfer. If the business is incorporated, the shareholders can easily transfer their interest by sale or gift.
Gain tax advantages
If you incorporate your business, there are tax deductions for a wide variety of operating costs which will substantially cut back your company’s overall tax liability. These deductions may include the cost of materials/production, employee wages, the cost of insurance, the cost of retirement plans, as well as business travel and entertainment expenses.
Enhance the company’s image
Another crucial reason to incorporate your business is that it adds credibility to its operation. The perception of a business is improved by its incorporation and use of “Inc.,” “Co.,” or “LLC” following the name of the business. Customers are more likely to trust and deal with a business that has this positive image. More importantly, the business will be more attractive to banks and investors if and when the business seeks outside financing.
Improve ability to manage
The decision-making authority of an incorporated business is centralized, which usually means that the shareholders have vested the authority in a Board of Directors. The Board of Directors can delegate this authority to the company’s Officers. In an unincorporated business, the power structure and decision-making authority may not be defined and may be subject to manipulation by a co-owner or employee. This lack of structure will substantially affect the ability of the business to operate. Subtract this risk from your business by incorporating and thereby centralizing its management structure.
A Limited liability company (LLC ) is a business entity that offers limited liability protection and pass-through taxation. As with corporations, the LLC, legally exists as a separate entity from its owners. Therefore, owners cannot typically be held personally responsible for the business debts and liabilities.
The LLC allows for pass-through taxation, as its income is not taxed at the entity level; however, a tax return for the LLC must be completed if the LLC has more than one owner. Any LLC income or loss as shown on this return is passed through to the owner(s). The owners, also called members, must then report the income or loss on their personal tax returns and pay any necessary tax.
Typically, there are no residencies or legal restrictions as to who can start an LLC. However, a few states impose requirements that members and/or managers must be at least 18 years of age, or the age of consent. For more information regarding the requirements of each state, view the LLC Formation Requirements page of our state guides.
While the S corporation and LLC both have pass-through taxation, the S corporation lacks the flexibility of an LLC in allocating income to the owners. Additionally, an LLC may offer several classes of membership interest while an S corporation may only have one class of stock.
In terms of number of owners, any number of individuals or entities may own interests in an LLC. However, ownership interest in an S corporation is limited to no more than 100 shareholders. Also, S corporations cannot be owned by C corporations, other S corporations, many trusts, LLCs, partnerships, or nonresident aliens. Finally, LLCs are allowed to have subsidiaries without restriction.
There are also differences in the handling of employment/self-employment taxes.
No, you can prepare and file the Articles of Organization (one of the most important LLC forms needed) yourself. Be sure you understand the requirements of your intended State of incorporation. You can use Initial Mile Service’ to form your LLC, complete your LLC forms. If you are unsure of what business type is best for you, review our Types of Business Comparison Table and/or try our Incorporation Wizard. If you still have questions, consult an attorney or accountant
A registered agent is required when you start an LLC or register to transact business in another state (a process called “foreign qualification”). Initial Mile includes Registered Agent Service with its incorporation service packages
Ensuring your privacy. When a company is served with a Service of Process, it is often delivered by local law enforcement. Most business owners do not want police officers showing up in front of customers, employees, or neighbors (in the case of a home-based business), to serve them notice that their company is being sued. Having Initial Mile as your Registered Agent Service Provider ensures you receive any Service of Process promptly and privately.
Maintaining a registered office and normal business hours. The Registered Agent for a business must be available during normal business hours to accept important documents as they are delivered. If you set your own hours, or you are often away from your office or home-office, having Initial Mile as your registered agent ensures that you never miss these important communications.
Typically, LLCs are taxed like partnerships, with pass-through taxation. While multi-member LLCs must file an informational tax return, single member LLCs do not. In both cases, the profits or losses are “passed-through” the business and reported on the owners’ tax returns. Any tax due is then paid by the owners at the individual tax level.
LLCs can also elect to be taxed like corporations, where the profits of the LLC are taxed at the business level. The State income tax treatment of LLC profits and losses may or may not mirror the IRS tax treatment depending on the State. For more information on your State tax obligations, contact us with your inquires.
LLCs are also subject to any franchise taxes imposed by the State of Incorporation. A franchise tax is a tax imposed for the mere privilege of being an LLC incorporated or registered to transact business (through a process called ‘foreign qualification’) in that State. Franchise taxes are typically due annually, and the amounts differ by State. The first payment must be made within 3 months of forming your LLC. The State will send a bill to remind you to make this payment.
After you decide to form an LLC, Articles of Organization LLC forms must be filed, and state and initial fees must be paid. Initial Mile ’s LLC Formation Service packages handle these steps for you.
After your LLC forms are filed, it is recommended that your LLC hold an organizational meeting of the members/managers. This meeting will help to start an LLC by adopting an operating Agreement, issue membership interest certificates to members, and undertake other preliminary matters such as authorizing the opening of a bank account for the LLC. View our article on Business Compliance Requirements to learn more.
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