Q: An asset protection Wyoming LLC owns property in MO ( as a summer home) would it need to register as a foreign company
This property is residential and personal use only, does not "conduct business". There may be a long term profit on the sale of the property if it is sold. Otherwise its just asset protection and personal use. I want to be sure I dont have to register as a foreign entity as this is a gray area of "conducting business"
A:
When an LLC formed in one state owns property in another state, the need to register as a foreign entity in the state where the property is located can depend on various factors, including how the state defines "conducting business." In your case, owning a residential property in Missouri for personal use and potential future sale does not typically constitute conducting business in the traditional sense. However, the definition of conducting business can vary from state to state.
Missouri, like many states, requires foreign entities to register if they are conducting business within its borders. Yet, simply owning property, without more active engagement in business activities, often falls outside this requirement. It's important to consider that future activities, such as renting out the property, could change this status and might then require registration.
To ensure compliance with Missouri laws and to avoid any potential issues, you might want to review the specific regulations regarding foreign LLCs and real estate ownership in Missouri or consult with a legal professional familiar with Missouri law and real estate. This can help clarify whether your specific use of the property requires registration as a foreign entity, giving you peace of mind and ensuring that you're adhering to the legal requirements.
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