The decision to invest in commercial real estate represents a broad range of factors that are unique to every investor, every real estate property as well as the vendors surrounding that transaction. Asset acquisition is the purchase of a business by buying its assets instead of its shares. When you buy a company's assets, rather than its shares, you do not have to assume all of the company's liabilities, but you can choose which liabilities you assume as part of the negotiation with the seller. This makes asset acquisition a very flexible way of acquiring a company.
Our goal is to help you make the whole process as simple as possible. See all the services for the "Acquisition of Assets Package" detailed below:
Entity Formation (LLC)
Forming an LLC is particularly important if you are forming your business because it creates a professional appearance to outside customers as well as vendors, lenders, and any other entity that you do business with. A Limited Liability Company (LLC) is flexible, provides asset protection for its owners, allows anonymity, is a sufficient structure for most business needs up to $100 million in value, and is often required by vendors before opening trade accounts.
Customer Agreements
It is crucial to have a well-written and clear Customer Agreement governing the compensation paid to the business and what goods or services you will provide. Setting clear boundaries or expectations prevents future disagreements, and unhappy clients, and avoids losing money.
Due Diligence
Another critical part of the asset acquisition process is due diligence. A buyer of assets will need to discover through searches and inquiries precisely what assets are being acquired, and what, if any, risks are involved. The buyer will also need to conduct valuations of the property being acquired.
Vendor Contracts
A vendor agreement is a commercial contract between two parties that covers the exchange of goods or services in exchange for compensation. Vendors are a critical part of your business, all vendor agreements have room for negotiation, but it is imperative to determine a policy of acceptable and unacceptable terms.
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Ron has helped developers raise foreign investment funds through the EB5 program and represented foreign investors from China, Hong Kong, United Kingdom, and India.
Ron has conducted acquisitions of commercial real estate, new construction development, and all areas of asset management for shopping centers, retail strip malls, restaurants, office buildings, industrial and warehouse assets.
Ron has helped thousands of investors on BiggerPockets where he is a leading expert on real estate investing.
Sit down with Daniel Hyman, CPA and Ron Rohde, JD as they discuss one of the most common questions from new investors in single family residential (SFR). We cover tax deductions, S Corp benefits, liability risk and due on sale clauses.
Is your entity forfeited existence from the Texas Comptroller's office?
This video will walk you through the 3 simple steps to reinstating your LLC (or other legal entity) with the state of Texas. There are two primary agencies to deal with if your entity has been terminated for failure to file an annual franchise return. Failing to file a franchise tax return or pay the fees due is the most common reason why Texas LLCs are out of good standing. The easiest way to check is to look up your entity at the Texas Comptroller website (link in video)
Type in your entity name and click search.
This process may apply to other states.
In this video, Ron sits down with Clint, a real estate investor based in Austin, Texas who has built an 8 unit SFR portfolio of #studenthousing within 1 mile of the Texas A&M campus in College Station, Texas.
Join us as we discuss his background, what led to the investment, advice to his younger self, and other legal issues investors face in 2020.
Have you wanted to invest in industrial warehouse commercial real estate? This is one of the hottest asset classes which has been tremendous gains in occupancy and rent appreciation. Join us as we walk through a property in Plano, Texas.