We feel called to and it is our business plan is to give 50% percent of the profits to charities that the tenants will choose from each month via our website. The other half will go towards the business (to acquire new properties) and our retirement.
My questions are-
What kind of benefits can we expect from giving 50% to charities?
Do you know a CPA that could help set up our business effectively for Twin Cities Area , Minnesota ?
Is there anything we should watch out for?
I just want to chime in on the part about letting tenants choose the charities. I would not expect this to go over well with tenants. So, I suggest you just do your charitable donations privately - or at least not let your tenants know about it.
This would possibly feel a bit demeaning to them. That they are scraping by paying their rent to you, and you're just giving it away. They may think, "Hey, what about me as your charity? How about you just cut my rent in half?"
Otherwise, I think it's a very kind thought for you to do this.
@Sue K. Thanks for the advice!
I agree that there will be people that will do that. And it won't be easy.
We will be very clear on what the business plan is and hope this will attract people with a sense of charity and joy in giving. Which I hope will attract better tenants also.
They will choose from a small set of charities that we pick and have vetted/researched. They would see how much they have to donated via our website over their time staying with us.
The rents will be competitive with the area also. This would be an added perk at living at our properties, not more expensive then other properties because of the charitable contributions.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!