BSD Capital LLC.FAQs

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BSD Capital invests and shares ownership of the property with you.

BSD Capital believes in complete transparency with our investors so we provide all the information needed to analyze transactions before you enter into the transaction.

All of our assets are registered in the names of the investors or the companies they own. The registration is done legally with the help of a real estate lawyer (title company) who verifies that the property is free of debts and has no liens, penalties, or levies on it prior to the registration. BSD Capital provides a bank guarantee for the entire registration period.

In the “Partnership in Real Estate Entrepreneurship” track, where each investor owns a certain percentage of the holding company depending on the amount of his or her investment, the property is registered in the name of a joint holding company.

Its important to note that it is strictly forbidden to guarantee investors a fixed return for real estate investments in the US market. However, in the investment in real estate entrepreneurship track, the investors and BSD Capital are partners in the property, which gives us incentive to lead the property to the best performance and highest possible return.

There are no associated costs. All costs of purchase, improvement, operation, management, and sale apply to the entire project and not to the investor individually. All costs are taken into account in the business plan ahead of time and are embodied in the investment amount. However, when investing in real estate, there can be personal expenses for the investor, depending on the investment structure.

For a single investor:
  • The cost of submitting an annual personal income tax report.
  • For the company: (When it comes to a partnership or a large-scale investment, it is advisable to start a company)
  • The one-time cost for starting a company depends on the scope.
  • The cost of the annual fee for each company, which varies depending on the state.
  • The cost of submitting an annual report to your state of incorporation varies by state.

It is necessary to pay taxes in the US so its advisable to enlist the help of an accountant to submit the annual report in an orderly manner.

Our experience shows that when it comes to relatively small investments (up to a total of about $250,000), the expected tax rate on renting the property tends to be low. Investors in BSD Capital are invited to hire the services of professionals who serve the company and are well acquainted with the company’s activities and relevant tax laws in order to receive the most competent answers.

The interest payment is withdrawn from the entrepreneur’s bank account automatically and on a fixed date, just like a standing order at a bank. In case there is no coverage for the payment of interest, an alert letter is sent before initiating legal proceedings. At that point, the interest rate rises to the maximum interest rate allowed by law (for example, 18% in the state of Florida).

 

If the borrower does not respond to the letter of notice, our legal department files a lawsuit in court demanding the forfeiture of the collateral for the purpose of paying the interest and refunding the full amount of funding. The entire process takes several months and BSD Capital bears all the costs involved in carrying out the legal process until there is full repayment of the financing fund and interest for the investment period.