Hey guys.
This is Justin Goodbread with Financially Simple.
So, I've been busy, and look.
I was out mowing the yard on the bush hog, and this splinter cut my lip.
So before you ask, because I know someone will, "What happened to your lip, Justin?",
that's what happened.
I was bush hogging, and a splinter caught it and ripped a piece of skin out, and it
hurts.
Anyways, I was with a group of business owners this week, and they said, "Hey Justin, why
do I need a business planner?"
That was my "Ask Justin" question of the week.
So let me give you a couple of scenarios that I've dealt with just this week.
It is Tuesday, Tuesday December something or another - November - I don't even know
anymore.
But anyways, I've actually had these three scenarios happen.
The first one was a very long-term friend of mine, he called me and said, "Justin, I'm
getting crucified on taxes this year.
I've been listening to you preach about tax planning.
Help.
Sent over his financials - very successful, almost an 8 figure net worth, I mean very
successful.
This guy, he knows his stuff.
He sends over bits and pieces of it throughout the day yesterday, and I meet with him, and
I say, "So-and-So, based on what I can see just real quick, I can cut about $30,000 in
taxes.
Let's get your CPA on the phone."
We got the CPA on the phone.
The CPA's like, "Yeah, we can do those things.
That we can do.
It's not a major."
(Somebody's trying to call in.)
Anyways, he goes, "Yeah, we can do those things."
Almost $30,000!
Nonetheless, it was a big deal.
So that particular business owner has all sorts of attorneys, all sorts of CPAs.
They never had a CFP look holistically at their finances and show them: here's how you
can reduce taxes.
Then, as I was talking to that business owner, we went through and saw six different areas
of his business that we can add extreme value to and position him for tax planning benefits
using tax free dollars long-term.
That was number one.
The second phone call occurred this morning.
I had a referral from a friend who said, "Look, I'm 40 years old.
I have a business that does $7 million a year in revenue.
I want to retire in about 10 years."
Perfect.
We've got a book coming out here very soon.
I don't even know what the title is anymore.
They've changed it 5 or 6 times.
But anyways, you can build net worth and retire in 10 years if you're a business owner.
So instantly, he and I started talking.
I said, "You know, we can do this.
We can do that.
We can do this."
And he's telling me information, and he was like, "Brother, man, I need some help.
Everybody I talk to just wants to sell me stocks and bonds or sell me some whole life
insurance policy."
I'm like, "Man, look.
As business owners, our number one asset is our business.
We have to have somebody holistically who speaks the financial language, but who's there
to help us drive the value of our business."
Yeah, we're gonna deal with those investments.
We're gonna deal with some insurances.
We're gonna look at those things, but that should not be the driving force.
He actually had somebody try to sell him a cost-segregation study and then collect 40%
of the tax savings from the cost-seg study.
It makes no sense, but that's what happened.
I had another individual just reach out to me.
We've been on the calendar for today, and he said, "Justin, I'm buying into an 8-figure
business.
I'm in my early 50s.
My wife and I are worth 7 figures today.
I've never done this before.
I've never bought into a business.
I've never been an individual business owner.
I need help."
So we're listening, and we're talking through the scenarios on the various circumstances
that he's dealing with, and I just asked 2 questions, and he stopped and looked at me
and goes, "I hadn't thought about that."
Well, we've gotta think about that.
Plus, we've gotta be able to think about all these other scenarios.
So I began putting all those different scenarios in place for him, and he goes, "Dude, I need
help.
Come help me."
So the reason why business owners need a business planner is because a true planner, a true
planner who focuses on business owners -we're working with dozens of businesses if not hundreds
of business owners who are facing various things, and it's more than likely I have seen
or a good business planner has seen the things that you're gonna run up against.
We know the language.
We know how to talk the talk.
We know how to communicate with the other professionals like attorneys and CPAs, and
if we're good at our job, then the other attorneys and CPAs often value our advice.
Now, does that mean we're always 100% right on T that we're not gonna miss something?
No, that's why we say, you've gotta have a good CPA - a good CPA.
I actually had a CPA the other day - this is a big rant for a second.
I showed a CPA how to cut their clients' tax bill down $70,000, and the CPA said, "Well,
I'm not gonna show it to my client because it wasn't my idea."
Are you kidding me?
She's like...
Or this individual's like, "No, I didn't think of it, so I'm not going to show my clients."
I'm like, I'm gonna tell my client, they need to fire you and get a "good" CPA in.
So you need a good CPA and an attorney.
Look, every business owner, every business owner, needs somebody that can look holistically
at their life and drive value - net worth increase.
That's what we're tracking.
So guys, I wanted to give you that "Ask Justin" today.
Why is it that we need a financial planner for business owners?
That's why.
We're dealing with things.
We think differently.
We're working in capacities that very few people know how to work in.
If we are business owners and we started a sole business like myself, we even know how
to do transitions and prepare businesses for sale and all the other fun stuff.
So with that, I've gotta go answer this phone call from another business owner who's gonna
pay $700,000 in taxes unless they implement some of the recommendations that I've been
working with their CPA on, and I think I've gotten it down to about $90,000 in taxes.
All legal.
Just various strategies.
But, I've gotta go answer that phone call.
Hey guys, like I say every week, life is hard.
Life is complicated.
Life can be frustrating.
Um, but life is good.
Life is good.
Hey look, ya'll go out and make it a great day.
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