tax club

You may also use the service of legalzoom.com. The cheapest that they charge to set-up your LLC is $149. They will not apply you for EIN but it is very easy to do that online. If you want, you can read more about types of entity. I find this book - LLC Dummies - a good reference for beginners like us.

Aileen

The Tax Club offers a FREE half hour consultation about LLC's and Corporations if you are enrolled in the coaching program / success academy. They are an accounting company and make money if you get a business set up with them.

The half hour consultation is worthwhile because it is FREE and they will review your goals and business plan with you. Based upon this they will give you advice on the business entity to set up and even the state to pick. They most commonly will choose NV because of the benefits but they have also suggested WY and MD. Once you have gotten the business entity and state to pick you can actually take that information to you CPA, attorney or still work with the Tax Club to set up your business.

nstreet -

The Tax Club clearly provides a useful, one-stop service to beginners like myself, but does a free half-hour seminar justify the up front cost

I would want to interview a CPA and/or an attorney face-to-face before I decided to use their service, especially since they'd be representing me in such serious legal matters as RE and federal, state and local tax compliance.

Am I just being overly cautious here?

Tax club is given as one option. This is an option that many seem to like but if you have a CPA or accountant that is fantastic then that is great. Use those that will give you the best effect. The most write offs, the most protections, ant the most help.

We finally decided to go with a local tax guy that really understands real estate. It will be easier to bring it to him. I also heard some disturbing news about the tax club. It may have grown too fast.

What negative things did you hear about them, if you don't mind my asking?

High pressure sales and information is not accurate. (They charge a large upfront fee which makes if difficult to drop them). Be sure to record your conversation with them. We used the tax club for 2 years and then realized that a lot of what they promised was not true. We were told that we would pay a monthly fee of $49.95 and this entitled us to free tax consultations and tax preperation. This year we contacted them to do our taxes and found out they were going to charge us a minimum of $800 to do our taxes even though we had been paying the monthly fee (apparently that monthly fee was for the free consulting which never used.) So we decided to cut our losses and this past tax season we dropped the tax club and went with a local CPA for less than half the annual cost of the tax club. Our new CPA found numerous errors on the tax returns done by the tax club.
One thing the tax club told us upon our signup was that all our business start up costs would be returned through our tax returns over the first 3 years unless of course we made money during that time. When we had our new CPA do our 09 taxes he told us that the tax club amortized those start-up costs over 13 years, meaning we will be lucky to get 1/10 of it back.
Be very cautious and make sure you understand everything they tell you.
Good luck.
Scott

I am a brand new member of the DG REI program/family. I realize that I am going to have some type of company set up. Scott's posting above suggests that I should aquire a lot of knowledge/education prior to just hoping to find someone to assist me with this step of my Real Estate program/business. Is this covered in Dean's book or on the Web site/forums? Could/would anyone please impart this type of info/knowledge to me. I would appreciate any and all assistance given. I prefer response via Email. My Email address is posted on my profile page. In advance, I thank each and & everyone who responds & assists.
DAN

I would like to tell everyone that you do not need to use "Tax club" for your business. Go to google.com and type tax club in the box. They are just a scam. I was told to pay $3800.00 upfront and $49.00 every month to be their member. At the end of the year if i want to do my tax i have to pay them $899.00. What kind of scam is that? I'm begging you not to do any kind of business with this people unless you want to throw away your money. Don't just believe me....just go to google.com and type tax club.
Good luck

Thank you for the advice and warning- someone from the Tax Club has contacted me-very nice person- but I was reluctant when he first said it would cost me $5,800 upfront and $49 per month, then he said he could reduce it to $3,800 setup fee and $49 per month, but would give me 3 months free.
Is their office really on the Empire State building in Manhattan? I should check that out...
It all sounds very good, but I too think that I should look for an accountant nearby who could do the same for my business for a lot less. I'm trying to start a business here, don't have much money, and they want me to charge it, charge it, charge it...I think I'm going to have to pass this one up!
Valerie

Thanks for the good info.

I repeat, don't sign with Tax Club. Find a local that can set you up and can keep an eye on. PM me if you want more info on my experience.

You made the right choice to stay local. I admit I was naive and thought it was just a coaching session at first. My wife and I are burnt out from all the offers. No investors in my area use them. At the end of the call when I said it wasn’t in my business plan yet, the salesman actually called me ‘stupid’. And he wasn't referring to my decision to not use them; he actually called me stupid.

I to was taken by this scam and it really upsets me how much money i have thrown away, tying to better my life and my family's life.It was with out a bout the wort experience with taxes i have ever had. That's enough said before i get in trouble !!!
Any way please visit are journal( Bob & Sandy's journal ) and please comment, and also visit (did any body make there first deal ever in 2010)

http://www.deangraziosi.com/real-estate-forums/everything-else/62118/who...

http://www.deangraziosi.com/real-estate-forums/investing-journals/60736/...

We wish every body the success they deserve proportional to your efforts that is all we can ask for.
Lets make the 2010 first deal ever a huge hit i hope to hare from you all soon
Bob & Sandy

I'm still trying to figure out how they get our phone number to contact us. Who is refering us to them? If Dean cut ties with them, who is giving out our info?

They got my info from PMI. The rep at PMI told me they would be calling.

They don't do what their snazzy sales people say, they are a big rip off. Check their BBB and don't look back. They'll make it sound like they are endorsed by Dean and Dean sets it up; they are NOT endorsed by Dean and they do not do what they say. Save yourself several thousands of dollars and skip the tax club.

I agree. You don't need the tax club. I am not sure how they get the names but it has to have something to do with Dean cause I never heard of them until I took Deans mentoring. Stay clear.. you can see if there are local clubs near you that are made up of retired specialists. Many States have volunteers that will help entrepreneurs.

Debby

www.AllStatesIvestments.com