Most importantly, they are disrespectful and bad business people.

A lot of family businesses cannot stay in business upon parent death due to no longer getting the prop 13 property tax discount.  

I'm going off the understanding that you still need to spend 500+ hours in the business to achieve material participation (please correct me if I'm wrong). 

When my business partner and I were still flipping we bought a couple through Auction.com and we always used a private money lender to fund those and our other flips. 

Hi @Nancy Cho happy to connect and talk business.

I had little choice since I was financing out of a construction loan that had little time before a ballon.

If you have a business you can grow and get financially rewarded that is higher priority then leaving that.

A good real estate accountant can save you thousands of dollars by leveraging entity selection and formation, tax deductions, cost segregations, bonus depreciation and tax planning.I recommend finding an accountant who specializes in real estate taxation, business taxation, financial planning and tax planning.You may want to consider working with your accountant remotely to expand your options.I would also recommend looking for a accountant willing to work with you throughout the year.

As someone who’s spent years building a real estate business from the ground up, I’ve seen both sides of the equation.

I think you've forgotten about the concept of Constructive Receipt.