“ Mr . BS ’ s attorney will claim your LLC is merely an alterego of you creating a facade to control the shareholder , which is you . This argument wins over 46 % of the time for closely held LLCs having under 35 members . It pierces the corporate veil and exposes all assets held in the LLC to satisfy any judgments .”
“ It gets worse . If the LLC ’ s assets can ’ t satisfy the judgment , a concept called ‘ reverse veil piercing ’ likely exposes ALL of your other LLCs or Corporations . Your umbrella insurance policy won ’ t cover punitive damages . Depending on the size of the judgment you could lose everything , including all your personal assets .”
“ Another option is settling with Mr . BS . You ’ ll have to pay all of the back payments to reinstate the loan to prevent foreclosure . You ’ ll also need to pay Mr . BS ’ s ongoing mortgage payments , plus all upkeep for the property and whatever walkawaymoney we can negotiate so he goes away . There will likely be additional conditions and stipulations .” Bruce asked , “ OK so what else can I do ?” His attorney ’ s answer was quick .
“ Those are your choices , I ’ m sorry .” Bruce decided to settle with Mr . BS , since that option offered the least exposure to his extensive portfolio . This cost more than $ 175,000 over the next many months to resolve the case .
Bruce said , “ Bottom line : nobody deserves to suffer like I did .”
Bruce explained this painful chapter is what caused him to dig into trusts , as a way to ensure this would never happen again . Along the way , he was able to discover the same benefits enjoyed by the Rockefellers and Kennedys .
Could This Work For Me ?
I ’ ve been real estate investing since 2013 , following graduation from the Air Force Academy and several years as an active duty officer . I also worked briefly as a FINRAlicensed financial
representative after honorably separating from service ( my last station in Wyoming involved commanding nuclear ICBMs ). I spent the next months attending training real estate investment workshops , 1on1 coaching , and other real estate events . I ’ d also started working as a FINRAlicensed investments representative ( Series 6 / 63 / 26 ).
A family inheritance allowed me to invest in both real estate properties and several real estate courses .
I ’ m naturally skeptical , especially with financial or legal instruments . My years as a FINRA licensed financial representative gave insight to some of the ways people hustle , scam others , or evade taxes . So naturally my BS antenna was up as I rolled up my sleeves and dug in .
I was wrong about so many things … that is why I ’ m sharing the lessons I learned .
I am lucky enough to have a mentor and business partner . He has extensive real estate investments and decades of experience .
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