I don’t see anything wrong with endorsing a business that is great at what it does.

Most businesses, property management or not, fail due to the lack of sales, not due to the lack of systems and phone etiquette.

Even if you create a non-CA LLC, if you are managing the business from California, you will likely be deemed to be "doing business" in California and therefore likely subject to CA taxes.

They have been managing fine, although not too busy, I guess because of the market.

This is really going to depend on the state you are looking to do business in.

My business partner and I purchased a commercial office building a few years ago with creative financing.

A good real estate accountant can save them thousands of dollars by leveraging entity selection and formation, tax deductions, cost segregations, bonus depreciation and tax planning.I recommend that they find a tax accountant who specializes in real estate taxation, business taxation, financial planning and tax planning.I would also recommend that they look for a accountant willing to work with them throughout the year, who can help them strategize and who is responsive when they want to know the consequences of the financial decisions they are making throughout the year.Good luck.

It makes lead management way more efficient since they get to focus on people who actually want to do business. 

Both from how you want to structure your rental property business and how to handle things from a tax perspective. 

Sell your investment property and buy the land for your business.