What type of legal entities do you have for multiple properties you list on Airbnb? For example, do you have one LLC for all of your Airbnb properties? And that one LLC is listed as the owner/tenant and assumes all income, expenses, and liabilities related to all properties? Or do you have multiple companies set up with each LLC assuming revenue, expenses, and liability for each separate property? I’ve heard and know real estate developers set up different corporations for each of their projects to reduce liability. Should a business with multiple rental properties be organized the same way - with a separate LLC for each rental unit?
My accountant and business advisor suggested that each property have it’s own LLC. We haven’t gotten there yet, but we need to really start paying a bit more attention to this.
This would be to separate the liability. If somebody sued for something that happened at one of your listings, you don’t want the other listings to be grouped together as assets.
We have an LLC and we were advised to dissolve it and form an s-corp.