Business Accounting Secrets

Lee Philips - Legalees

Tax Secrets: "Your little business is the most important tax shelter that you have."

You probably started your business because you are very good at the skills needed for that industry.

But knowing everything you need to know to take care of the business side of your business can be a challenge.  It's knowing what you need to know and knowing what you don't know and knowing when it is time to hire someone that knows what you need to know.  Legalees is a company started to help small business owners navigate the LLC and S Corporation side of business.

Listen as Lee Philips, Counselor of the United States Supreme Court, with a long resume in real estate, investing, insurance, research and law shares his time with us to share his expertise in helping businesses play the game of business and play the accounting side well.

Enjoy!

Visit Lee at: Legalees.com/james

Podcast Overview:

00:01:06 SBIR grants, governor endorsement, BYU stock profit.
00:03:27 Word Perfect founder's interesting story and Utah's tech success.
00:08:30 Avoid probate with Living Revocable Trust.
00:13:03 Trust simplifies bank account setup, avoids tax ID.
00:17:54 Estate planning is simple for smaller assets.
00:21:33 Degrees in geology, physics, nuclear chemistry. Chemistry company, law school. Patent work, health scare, hospital visit.
00:23:08 Friend discovers advanced cancer, two-three week lifespan.
00:29:07 Lost everything due to IRS tax issues.
00:32:48 Easy transition, no asset protection, lower taxes.
00:37:07 LLC offers tax advantage and asset protection.
00:38:20 Corporate shield protects owners in slip and fall. Partnership has asset protection against creditors. English law protects innocent partners from debt.
00:42:54 Utah removes corporate formalities, but it's BS.
00:44:33 No formalities in LLC; charging order protection.
00:50:30 Understand taxes for increased income and protection.
00:52:07 Lawyer walks in cow pasture, steps in manure.
00:56:06 Business and real estate: secret to wealth.
00:58:55 Authentic Business Adventures: Business owners' struggles, successes. Locally underwritten. Thumbs up, subscribe, comment. Call answering services. Bold business books. Thank you, Lee Phillips. Website?

Podcast Transcription:

James [00:00:02]:

You have found Authentic Business Adventures, the business program that brings you the struggle, stories and triumphant successes of business owners across the land. Downloadable audio episodes can be found in the podcast link found at drawincustomerscom. Today we're welcoming, preparing to learn from Lee Phillips, the founder of Legalese. So Lee is going to take us right into it. We got going into conversation, so let's hear all about the accounting and legal stuff that you have to deal with with your small business.

Lee Phillips [00:00:32]:

Some background that you don't know is after I got sick, I went to BYU and I'd created an instrument for chemistry as a student there. And then in my two weeks as a patent attorney, I started the patent on it while I was sick, for three years, the patent issued. So I went to BYU and I said, I'd like to make this instrument. And I started a company called Lee Scientific, and it was the first Utah high tech company.

James [00:01:05]:

Wow.

Lee Phillips [00:01:06]:

We got the first SBIR grants, the first all of this crap. And the governor actually spent 20 minutes of his 40 minutes State of the Union address saying, lee Scientific is the future of this state. And I gave BYU, and I'm not going to go through this story for you, but it'll give you some background. I gave BYU a little bit of stock in Lee Scientific. I wrote the license agreement for them and they made about a million dollars off of the little bit of stock I gave them when we sold the company three years later.

James [00:01:44]:

All right.

Lee Phillips [00:01:45]:

And they said,