All Forum Posts by: Scott B.

@Brett Russell

@Brett Russell

This place was just what I was looking for. In the past 24 hours I've found someone threads filled with great information. I am really looking forward to trying to attend the December meetup with you, Tom N. .

Do you work out of Jackson, Ann Arbor or Detroit? I only ask because I find myself in all three of them at least every other month visiting clients. If I can't make it to the December meeting, I'm always game for coffee or a drink.

Looking forward to meeting everyone soon.

@Cuong Le

I really appreciate the encouragement. From your profile description it sounds like we have a lot in common from a property type standpoint. Hopefully I can draw on some of your experience in the future.

How did you and your wife locate, gather a downpayment, and fill your first unit? It seems like the first one is going to be the hardest, but maybe its just doubt on my part.

Right now were looking at leveraging a 401(k), bridge financing via a minority interest in another property or taking on a partner. None of them really feel that ideal, but you have to start somewhere right?

@Akiva L. Sounds good to me, where do you usually hold it at? Do you do it on a weeknight or weekend? If I can make it in December, I'll be there. Congrats on the Ph.D. Where did/are you doing it at? If you want to grab coffee/lunch in Royal Oak or Southfield sometime, let me know.

Thank you everyone for the warm welcome!

@Steven Hamilton II,

Not what I meant. Disclosing client specific information was not part of my recommendation.

Asking probing questions to gain an understanding of where you (as a client) might fit into the practice was the flavor of the post.

Great thread.

I would definitely get an idea of the CPA's client base. As a client, would you be their largest, smallest, or somewhere in the middle? If you're not sure where to begin, ask what the firm's gross billings are for the year, how many professional staff they have, what their clients average gross revenue is, and what they anticipate (range wise) it would cost for the service(s) you are requesting.

Your goal is to grow your business, do they know how to help you do that?

It's important to know how well versed the firm is relative to your investment. Are you a single investor with a single property and need some light bookkeeping assistance? Or do you have multiple K-1's with cross collateralized debt, layers of flow-through ownership, inter-company loans, inside and outside basis, side management companies, employee leasing companies, 401(k) plans, estate tax plans, etc etc.

Also there's more to consider than just the tax preparation. Do you need financial statements? Do they need to be reviewed or audited? Or will a full disclosure compilation suffice? How about other services such as business valuations, debt negotiation and credit restructuring?

You should walk away from the meeting with ideas for your business plan or accounting strategy that you didn't have before.

If your CPA/EA isn't comfortable stepping into a quazi CFO role during the course of the conversation, could they really be a trusted business adviser? Would you want this person speaking to your lenders or partners on your behalf?

Your relationship should be symbiotic; they should provide more value than simply filling a compliance need.

Andres,

My firm works the way you think. We pride ourselves on being entrepreneurs, and try to bring answers before our clients form the questions.

What is it you've been unimpressed with? Tax planning is generally a pretty straight forward process. Has it just been a lack of forward thinking from your provider or is there something specific?

Steve's right, don't limit yourself to someone local. With cloud computing, email, etc your CPA/EA doesn't need to be local. A provider that is capable of servicing you from across the country is probably more accessible than a local guy who spends a lot of the time in the field.

At any rate, if I can answer any questions for you, please drop me a line.

Scott Baker, CPA

Hello everyone.

First I thank you all in advance for your help.

For the last few years I have been reading, and analyzing real estate investing, but due to economics and family circumstances, it just wasn't an option.

Now, things are changing. My wife and I have transitioned into our roles as parents, I've had a couple of nice promotions, and I am almost done with grad school (MBA).

My background is in accounting. I am a CPA, and spent the first 4 years of my career working of a large regional firm. In 2009 I left the firm and joined two former partners in starting a firm that worked the way we wanted to. Typically we service closely held companies, ranging from $100k - $100M in annual sales. Our clients are generally concentrated in Construction, Real Estate and Transportation.

As far as real estate is concerned, I've always been interested in creating assets that create wealth. During my undergrad I read about about investing in small multi-family properties and though "this sounds like the thing for me", only it wasn't the right time.

I think that time is now, and see no reason to wait longer, except for the right property.

If I've learned anything this far in life, its that "I don't know what I don't know". I came across this site and though it would be a good place to lurk, ask questions and possibly get some guidance. My career and education has me mostly covered with the financial concepts, I'm hoping PB will help me find people to network with, guide me in how to find "the right" properties, and allow me to help others with my background.

If there are any accounting or tax related questions I can help any of you with, please don't hesitate to ask.

Looking forward to connecting and interacting with all of you.

Sincerely,

Scott Baker