LP may not like that arrangement. The Terms of Service say that you cannot use your account (except for Resellers) to host a site for someone else.

Why don't you do it "right" and just have them buy a Basic account for a year? You can do the support work for them, but LP will be happy that you're meeting the ToS. If your friend wants to keep going with it, they're already there. If they decide to quit, they aren't out that much.

A domain transfer is, in effect, to transfer domain name from the management under one registrar to another registrar. As a registrar is only responsible for the management of your domain records, this transfer should in no way affect your website, relevant email or DNS.

In order to process the transfer of your domain, you need to have domain already under your ownership and a registrar that you want to transfer that domain to. While the process of a domain transfer is a fairly simple procedure, it is important to understand the workings such a domain registration transfer so that things don't get more complicated than you can handle.