The Business Tax Strategy That Builds Wealth

Unknown: Hello, Loral Langemeier: hey. How are you Unknown: doing? Well, how are you? Loral Langemeier: I'm good.

And where are you guys from Vermont? Yes, we're in Cabot, Vermont. All right. Your question, are you working with Sandy?

You've already met with her. Unknown: Yes, all Loral Langemeier: right. You, so this is from Matt. He says, 'My wife and I started a business two years ago and formed an LLC.

We've been profitable since day one. What do you guys do? Unknown: Cannabis seeds, Loral Langemeier: awesome. Unknown: Yes, Loral Langemeier: think if you don't know, I own.

I own that vertical in one of the counties here in Nevada, and we just bought a whole bunch of seeds a couple months ago, Unknown: very good. Loral Langemeier: Yep, and they're up popping and looking amazing. So, you want to make sure you're set up for long, long term financial freedom and success. We want our business properly structured to get the best tax advantages, you want to start investing, get your lazy assets working.

Where do you start? I think you've heard, I don't need to go back through all the questions. The answers get a little shorter, because I've got out laid it all out. You, what, like an LLC is not enough?

If you're doing, you're doing more. What are you doing? Quarter million, half million. We Unknown: did about a quarter million last year, and we're going to be exceeding that for this year, Loral Langemeier: and you only have one LLC to run all that through.

Unknown: Yes, Loral Langemeier: yeah. So you're going to start with the tax, you're going to do a quick taxes. I will ask you another question. Have you filed 25 or are you on an extension?

Unknown: We did file, Loral Langemeier: okay? And did you overpay? How much did you pay? Unknown: About 30,000 Loral Langemeier: Yeah, so and then the year before that, Unknown: the year before that was about 20,000 and that was our second, that was our first year from a tax perspective.

So we've been at for two tax, two tax years. Loral Langemeier: So then we would just go back as far as just those two years before that, where you w2 where you Unknown: were Loral Langemeier: okay. So, probably not a lot to do back there, but these two years there is, and you will have R and D credits on this one. This one, that's huge.

If you have, and most, here's what's interesting about most tax folks, if they don't have a relationship to specialists who do that and specialists who do cost segregation, a traditional basic tax strategist won't do it, they don't even know to do it, they don't know how to do it. So we have specialists in those categories that will circle around the whole review and go forward. And then you need more, way more, you're going to need at least two more companies. Again, we're going to put you in one of our Nevada ones, and the reason we do Nevada over Wyoming is the history, the age of Nevada is older in his case law, and plus, especially in cannabis, we have, like, the most intense, you know, of all the states, because we've Nevada just did their cannabis right bias, but we locked the state, there's no more licenses, there'll never be more, it can't.

I mean, what we have is what we get, which is what keeps you know things healthier here. Wyoming's not there yet, so they wouldn't even have a lot of this right, having that off off year tax year end and off different states. It changes your strategy, and so many tax strategists, who you know, were born and raised in their little state, they only do taxes in their state. It doesn't occur to them to go outside and do national tax, so we do national.

We actually do all of the United States, so we have people, Canada, Mexico, all North America is run by similar teams and similar strategies, which is aggressive corporate structure. And the people who pooh-pooh will say, yeah, but it's more paperwork. Well, I've been.. I have T-shirt, I'll send you.

It says, "Do paperwork or be poor, because it is a little bit more paperwork. Because now, instead of one company, you're gonna have three companies to take care of every year. I have had up to 70, and I'm in the 20s right now. It doesn't matter, people can handle that.

And you say, "Well, I got to pay for it. Well, yeah, but you're doing this to make money, you're not doing this to shortcut cheap stuff. So you start in tax and corporate structure. Do you have a trust?

Unknown: Not yet. Loral Langemeier: So we get you a trust in Vermont. Do you have kids? Unknown: We do.

Loral Langemeier: And what's is interesting, because one of the companies that we're going to have them work for, it that can't be the cannabis company, as you know, they got to be 21 kind of a 19 year old, so it's interesting how you're going to moderate around that, but we will, Unknown: right, Loral Langemeier: so that's that's where you start, and then similar to everyone else, is just it's a, it's a lifetime journey of learning investments, I mean, that's why people stay, is to increase income, new business opportunities, clearly our tax teams rock, and then the people say, well, why are you back five or six, seven years?

You know, I mean, Sandy's been here 17 years, I think, because everyone's here to like stay caught up on number one on what's going on, and there's always new, interesting investment strategies, and you don't want to put all your investments in Vermont, they have an okay tax code, but it's not that great. Unknown: Yeah, we agree. Loral Langemeier: Yeah, I mean, I live in Northern Nevada. I only own one property here now, and I invest mostly in the Midwest, where I became a millionaire in real estate.

I just love it. I love the Midwest. The rents stay high. We're in college towns, typically.

It's just, you can adjust for more in some of those areas. Unknown: Yeah, sounds Loral Langemeier: like a good plan. So, we have all those people to do all those things, and if you ever want to go broader in cannabis, we've got extraordinary people to collaborate with this and that as well. Unknown: Great.

Well, thank you. Loral Langemeier: Well, good. So, when you're, when are you talking to Sandy? Love to help you guys.

This will be fun Unknown: tomorrow at noon. Loral Langemeier: Okay. All right. And again, if you have any questions, let her know, and she will leave me a message and I will get right back to you.

Unknown: Thank you so much. Thanks. Loral Langemeier: Good to meet you guys. You too.

Unknown: Me too. Loral Langemeier: Thank you. Unknown: Thanks for listening to the Real Money Talks podcast. For some special wealth building gifts only for Laurel's podcast listeners, visit Ask laurel.

com/podcast Do you have a burning question for Laurel? Visit askloral.com to submit your question, and it just may be covered on a future podcast episode. Until next time, you.