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Dimitry K., Esq.
Dimitry K., Esq., Attorney
Category: Business Law
Satisfied Customers: 41220
Experience:  Run my own successful business/contract law practice.
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My question is concerning an LLC. I have an existing LLC in

Customer Question

My question is concerning an LLC. I have an existing LLC in Maine that is a business account at a local bank. I formed the LLC so I could move funds from an IRA into a self directed IRA.
I am going to be starting an ecommerce business such as selling items on Amazon, as well as managing other Amazon seller accounts for a fee. I've been told I need an LLC for this and I'm wondering if my existing LLC will work? Any money that I make would be going into that account. It is called Life Solutions, LLC.
Submitted: 1 year ago.
Category: Business Law
Expert:  Dimitry K., Esq. replied 1 year ago.

Thank you for your question. Please permit me to assist you with your concerns.

The issue with your existing LLC is that it is set up for a different purpose. Since doing re-selling and receiving profit will now put in funds that are not related at all to the IRA, doing so, while not inherently illegal, will expose you to an almost certain risk of audit and additional questions. Since the purpose of your new business is different from your IRA, getting a new LLC set up is frankly more professional and less likely to create red flags with the IRS or with the state tax bureaus.

Sincerely,

Dimitry, Esq.

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