All Forum Posts by: Gerard Mangenot

Hi Chris, I was wondering how your wholesaling business is going? I am in GA right now but relocating to Omaha this summer.  I do flips and buy and holds. I will be looking for a wholesaler to do business with.  Maybe we can work together.

Great podcast.  Like this format a lot. Little easier to follow you guys than a fast-talking ultra-successful guest who has everything figured out. You guys are great!

Michael, here is the additional info you ask for. I hope to make 15-20k on this deal after all expenses. I had some carrying costs and costs to establish a line of credit of 2-3k, maybe 1k for utilities, typical closing costs on the buy and sell side. No other deals in '17 or '18. I did 85% of the work myself, probably 30hrs/week for 3 months. All of my work was in '17. No further business plans for the LLC in '18. I have a full time job and several rental properties as additional income.

I have an single member LLC newly formed in late 2017. I purchased a property in the LLC name to be flipped in 2017 that will sell in 2018. I have not elected to be treated as an S Corp at this time. Nearly all renovation expenses and my time spent on the project were in 2017. My intention is to not show any profit or expenses from this on my 2017 personal tax filing as there was no revenue in 2017. When I file for 2018, if I do not file for treatment as an S Corp, I will owe self employment tax on the total profit from the sale. If I file for treatment as an S Corp some time in 2018, how will I do the earned income/distribution split? Is it more advantageous to me to file the 2553 at any particular time? I expect it will be more complicated because I will not have filed quarterly self-employment tax returns. The LLC will not have any more activity in 2018 after the sale of the flipped property. Thoughts?