One family, six LLCs, and nobody has the whole picture.
Accounting, controller and fractional CFO work for family-owned real estate, from a team that has closed these books before.
What we usually see when a brokerage or landlord family reaches its fourth entity
Each property or office has its own books, kept differently; commissions and escrow are accounted for by habit; intercompany loans nobody documented; a refinance or acquisition needs consolidated financials and a personal financial statement that take a month to assemble; K-1s are late because the entity books close in March.
The numbers we watch
— Net operating income by property
— Debt service coverage by loan and consolidated
— Occupancy and lease rollover
— Commission accounting and agent payables (brokerages)
— Intercompany balances that net to zero
— Distributable cash by entity
— Personal financial statement, current
What we build
— Entity-level close on one calendar
— Consolidated monthly reporting with intercompany eliminated
— Lender packages and PFS on demand
— A distribution policy by entity
— Coordination with the CPA so K-1s aren't a March emergency
How the numbers connect
What the owner sees on Monday.
Everything to the right explains it.
Adds to cash
NOI by property
Rents − operating expense
Takes from cash
Debt service by loan
DSCR per loan and consolidated
Distributions
Policy by entity
Also watched
± Intercompany
Documented, nets to zero
The tree shows how cash is built for this industry: what adds to it, what takes from it, and the measures behind each. It is the structure of the scorecard we build.
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