All Forum Posts by: Larry Flanagan

I sold a house owned in a land trust. My LLC is the beneficiary and I am the trustee. The proceeds check is written to the 123 Main Street Trust. The trust does not have an EIN or bank account. I am having trouble cashing this check...

Thanks for the input.

I'm looking at buying an established restaurant franchise that has been around for 6 years. There is a well-compensated manager in place who handles day to day operations. Owner is absentee and has weekly conference calls with manager and visits site every month or two. I am local but would keep the manager, I dont want to buy myself a job. Sales are steady near $850k/yr. NOI after paying manager is steady near $65,000/yr. Average location in an average retail strip center, interior build out is above-average. There is a business broker involved, they are indicating bank would loan 70% of price, seller will finance 15% so 15% cash down required. Any input?

There is a saying "When in doubt, do half", ie - sell half the ground.

I am buying a house this week that I plan to hold for a while as a rental.  I plan on paying cash for the purchase, rehabbing, then refi'ing.  Is holding personally or in S-corp most tax advantaged?  One issue is most of my liquidity is in the S-corp, so I will need to either distribute cash to myself to fund a personal purchase, or make myself a loan to be paid back upon refinancing.

Also, I have another property in the S-corp that I had intended on flipping but now want to keep.  Should I keep it in there, or transfer title to myself?

Obviously you've never seen a hoarder house.

I am looking at a small 25 yr old office building for investment purposes.  I am trying to get some realistic figures for tenant improvement allowance and frequency.  Has anyone here analyzed this?  I have talked to a few local property managers and was floored by how they seem to brush off the cost/impact of this expense.

Excluding property value and rental income, is there much value in lead generation systems, buyer lists, marketing, phone #, email, branding, etc for a wholesaling / rehabbing business?

I recently got a $30,000 signature loan for 5 years at 1.9%.  My score at that time was a perfect 850.  I used the money to buy a used Porsche Turbo because I didnt really want to come out of pocket for the full $40k.

I have a lot of personal & business credit accounts but the only time I carry a balance is on a 0% purchase for consumer goods like a new TV, bed, etc.  My most frequently used cards are my business VISA and Menards card.  I charge about $10,000 monthly on these but rarely carry a balance.

I have a few large $50-100k signature lines that I use to purchase property from time to time.  Sometimes I max these out but they get paid in full after a few months.

I have a home mortgage, five investment property installment loans, a car loan, and a student loan.  I have never been late on a payment.

My credit has been established for about 15 years.

Hind sight is always 20/20.  Four years ago he gave you the best deal you could get for your problem property.  I would attempt to work something out with the guy who helped you out of a bind before talking with an attorney.