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More questions on 'Converting to a new company'
More questions on 'Converting to a new company'
Kevin Campbell avatar
Written by Kevin Campbell
Updated over 3 years ago

Question

So if a property manager knows that they will later convert their one company with 15 buildings to 15 separate companies, should we set it up now as 15 separate companies?
Also is it possible to move buildings/units/tenants information from one company to another when you close out the old company and create a new one? Or would I have to re enter it or reimport?
So for this example is they created the one company with 15 buildings and then got new LLCs for each building, they would close all of their books and accounting for this company, and then start fresh with all these new companies?ย 

Now I have another example, this client has some rentals and also has some properties he flips. First would you suggest he includes the one he flips in the system? He wants two companies in the system to help separate them - one for buildings he flips and another for ones he rents out. But if he can't flip the house in a few months, he rents them out. So then he would want to switch that building to the other company that has all the rentals. Would there be any good way to do this? If he doesn't record much accounting for the company that only flips houses, or if its only accounting that directly affects particular units, would this be feasible?ย 

Answer

Our system is designed for property managers who rent out properties and unfortunately does not have a built-in process for quickly flipping houses. Users can still properly switch the company that owns the building, but they will have to go through the same process described in https://app.intercom.io/a/apps/l8y7b8q5/educate/articles/358319/show to close out each one of their buildings each time they change the company.

If a property manager knows they will later have the buildings under different companies, they should set it up with different companies so they do not need to go through the process for closing out and re-entering the buildings later.

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