FundRobot » Equity Funds » accounting rules for buying a business using home equity?

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Default accounting rules for buying a business using home equity

I have a rental property with reasonable equity in it. I was thinking of taking out a home equity loan or do a HELOC and using that money to purchase a manufacturing business. I intend to form an LLC. My questions are 1) what is the proper accounting treatment on the cash I pay to the seller? 2) Do I treat the loan principle and interest payment as a business expense? 3) what steps do I need to take make a clear distinction between the new business I am buy and the rental property?

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