All Forum Posts by: John Woodrich

Update - I talked to Mariah tonight and we determined there was no need to use the EIN this year.  Going to get it all settled next year.

@Mariah Kraatz-Rimkus you won't need the EIN before January 1st.  The only question that may trip you up is that they are going to ask when you started in business (for the purpose of updating their system to expect tax returns).  For this I would use the date you went into business, likely the date you established the Assumed Name.

Also, when filling out the application if you mention you have more than one partner it will expect a partnership return when you may not need one...

I will send you a colleague request with my information.  It may make more sense to talk this over the phone.

Although you determined they were under the influence it could have been a prescribed medication they were on (medical marijuana?) that could have made them seem impaired.  I don't think you will have any issues with this but your individual judgment can always lead to discrimination.

Personally, I would have been forward during the showing. If I smelled marijuana I would have asked about the smell.  Then I would have let them know that we have a crime free/drug free addendum (which may or may not be required by the city) that we are forced to stick with.  The fact that I called them out may embarrass them enough where they wouldn't ask for an application.

Not sure how I would have handled it if I felt a little intimidated though.  Maybe I would have emailed them back the info above to be "MN nice".

I would recommend you take the MHA Principles of MN Rentals class.  Half day and a lot of valuable information.

I am a CPA who invests in real estate.  My office is in Brooklyn Park off Hwy 169 and 694.  I have worked in public accounting for around 9 years and have invested for 10 years. 

If you would like to have a quick discussion feel free to send me a message on here and we can setup a quick phone call. 

John Woodrich, CPA, MBT

To start from the beginning, you cannot convert it and you will need to setup a new LLC. You also can't move your EIN to the other company. If you old EIN has not been used yet, no worries. Tell your clients that you will be getting them a new Name (name of your new LLC) and EIN. They have until the end of January to file 1099s and letting them know will avoid them having to send out corrected forms.

Also - you mention in your last post that you have another partner. If you have another partner in an LLC you will have to file a Partnership tax return unless you complete an entity classification election and classify as a different type of entity.

We have used ADI Supply a few times and I am just wrapping up an order with cabinets.com this week.  I will disclaim that I haven't used cabinets.com yet so can't recommend them.  Only reason I am not using ADI is that I forgot their name until the other day when my brother called me about his order at ADI. 

Most companies will help with design if needed and ship you sample doors if you are concerned about quality.

Thanks for sharing your story and your excitement for real estate investing!

The first deal is the hardest, there are learning curves in establishing and working with contractors, pulling permits, and other things you may not think of so I would start connecting with people now and get your plan in place.  As mentioned above, the market is cyclical.  If you are flipping with a loan you will have to get in and out as quickly as possible.  The interest payments will start getting you and what may be a good deal now could be a loser a year if the market turns.  Lastly, make sure you know the area you are investing and know why your property is a good investment. 

@Wane Zaza Sorry, I was off here a couple days.  Typically you would get your job in public accounting while working on the CPA exam.  If you can take time off working to study it will definitely be easier.  Studying is pretty much a full time job until complete.

I would recommend 3-5 years experience before going for a masters.  At that point in your career if your current employer wont pay it everyone else will.  It is very easy to get a job, the industry is short on experienced staff. I personally wouldn't bring it up.

@Wane Zaza the @ tagging someone is somewhat sluggish.  I don't think it ever works from my phone but works fine from a CPU.

I like the idea on going for accounting, it is really the language of business.  If you work in public accounting you will work with businesses everyday and that may help you decide what business or industry you are interested in investing.  

Good luck with everything!