4 siblings hold self-directed ROTH IRAs. They would like to use the IRAs to jointly purchase a business (LLC). Each sibling’s IRA will hold 25% of the membership of the LLC.
The LLC will be managed by a non-disqualified person (say it is the uncle of the siblings). The siblings will take no part in running the business and have no say in its direction.
The LLC is a passthrough partnership and any tax liability from earned income is to be paid by the directly by the members (and not the LLC itself).

Questions:
1. Is there any issue with the siblings IRAs jointly holding a business. (I assume “no” from what I read, just want to make sure).
2. Once the business is owned, is the business a disqualified-person for any of the IRAs? Or could each IRA still transact with it (e.g. loan it money).
3. Once the business is earning money and reports the earning and the K1, is there any case where the earning create a tax liability for the IRAs?
4. Is there any limitation on who the business can engage in business with?
5. Are there any kind of transactions that this business may do that could be considered “prohibited transactions”?

Thank you.