Most of the deals have been Reg D 506(b), so one has to know the sponsor, but one could be sophisticated (knowledgeable) and not accredited (rich).

@Jason Larson that is not entirely true. 506B syndications can often accept a certain number of “sophisticated” investors.

Think you’re probably right about the sophistication vs. size of operation.

No sophisticated formula, just what I've rocked in on after 10 years of learning.

Have Sophisticated capital but low clientele.

The bottom line is sophisticated RE investors make it work for the situation each party is in.

I can tell you stories about how I made as much as $100,000 per day on many jobs and I could even put a price-tag on my experiences and try to sell you a course, but I would not do that to you because I did not make that kind of money without, first, working in the business for 30 years, knocking my head on brick walls for 30 years, almost going crazy, filing bankruptcy and I had to have a million dollars in the bank to make my payroll, purchase tractors and do several million dollars in work without my company getting paid for 6 months.I am an honest guru.

We need a payroll service and already use quickbooks.

Yes you would be able to deduct the expense on your schedule c but you would have w2 income to claim plus you  would be paying payroll taxes on the income and you would miss out on the new 20% business tax credit. 

To date I have been running everything out of a fairly sophisticated excel sheet... but I know there is a better way.It doesn't take many searches to see the internet really likes to push Quickbooks.