Business Owner With Multi-State Living Arrangements? Here Are Some Best Practices to Follow

You may consider multi-state living arrangements if you own more than one home in more than one state. This can be highly beneficial for work, keeping up with friends and family, and even just for a change of scenery. It can also be highly beneficial for business! If you’re following a multi-state living arrangement, Riddick & Co Entrepreneurial Finance has some tips and resources you should keep in mind. 

Save Money, Stay Organized

According to BDC, entrepreneurs have a lot on their plate. When you’re living in two different states, you will have more responsibilities to deal with. Thus, you must stay organized and save money so you’re fully set up on the personal and business end. To do so, consider small financial hacks that can go a long way in saving money. This could include reducing eating out or prioritizing cooking with non-perishable or frozen food. You could also save when you register your cars and get your auto insurance policy in the state with the cheaper options. The same can be done for health insurance. On the business end, invest in a few essentials to stay organized. For example, getting a registered agent in the state where your business is also registered will help you manage business details even when you’re away. Company Plan also recommends writing a business plan, as this can help you stay accountable to your larger business goals and achieve success. Figuring out specific details like business structure, entity, and accounting goals will also be critical in staying organized. 

Keep Essential Products on Hand

Since you’re splitting living among two states, having the essentials on hand in both homes will be critical. First, be sure to have products that help keep your family safe as you move into a new home. These could be items like a lockbox, security cameras, or essential medication. You should also prioritize having things of comfort your family relies on in both homes. Whether that’s a favorite pan or your dog’s favorite toy, keep these handy so everyone feels happy and settled. Before purchasing any products from your family, read in-depth reviews from unbiased sources, as this will help ensure you buy quality products that last. 

Choosing a Registered Agent

Having a registered agent for your business will be an invaluable asset when you live across different states. It simplifies processes and ensures your operations run smoothly, even when you’re in another state. When establishing a registered agent, you must outline the major decision-making items and processes. This will ensure you’re covered in the event of something serious like a tax notification or lawsuit. 

Consider Cost of Living

According to The Independent, living costs are increasing across the board in different cities. To account for these rising costs, it will be necessary to carefully budget for the various expenses that will come up in both states. To better understand what to budget for, let’s take a look at some average costs for services in different U.S. cities:

  • Home Warranties: costs can vary by state but you have plenty of options for home warranty companies in Florida, so check ratings and reviews and find the best fit for your peace of mind.
  • Rent: The average price for renting a home in Miami, FL, is $2307.
  • Healthcare: The average price of healthcare in Phoenix, AZ, is $454.
  • Childcare: The cost of childcare in a city like Los Angeles, CA, is typically around $1500.
  • Insurance: Those living in Atlanta, GA, normally pay $1638 for insurance each month.

Multi-state living arrangements can be a great way to own more than one home. There are a few things to consider before deciding to live in multiple states, such as the cost of living and designating a registered agent. However, with a bit of planning, you can ensure that you are prepared for all the challenges that come with living in multiple states.

Riddick & Co Entrepreneurial Finance works in conjunction with your other top advisers including your CPAs, attorneys, and bankers to assess your whole situation to give you truly objective guidance and a plan of action. Questions? We’d love to hear from you!

Links and references to outside sites are for reference only and are not an endorsement or recommendation of any kind to anything contained in the referenced website.

Author – Joyce Wilson is a guest blog writer for Riddick & Co Entrepreneurial Finance and is not affiliated with the firm in any other capacity.

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