11 Steps to Forming a Family Cottage LLC
These are the eleven steps to forming a New York vacation home LLC:
- Consult with an attorney with expertise in real estate, business and estate planning law.
- Consult with an accountant regarding the gift, estate and income tax consequences and filing requirements of transferring, owning and renting the home.
- Check the New York Department of State (NYDOS) database search for name availability.
- File LLC articles of organization with the NYDOS.
- Publish a legal notice for six weeks in a daily and a weekly newspaper.
- File a certificate of publication with the NYDOS.
- Issue membership share certificates.
- Draft a detailed operating agreement which will be discussed in a future blog.
- Obtain a federal tax identification number from the IRS.
- Open a bank account in the name of the LLC using the federal tax identification number.
- File a deed with the County Clerk transferring title into the name of the LLC.
A properly formed LLC will be instrumental in preserving your vacation home for all to enjoy.