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Hello and welcome back. This is Colin Keely here. I'm Brent Sanders and we are two guys buying and building wonderful internet companies. Wonderful internet companies. Yeah. You know, and, and on that note, we we need to maybe come up with another name. Right? Another, another word for beautiful business.
You know, what's another, maybe just internet companies didn't wanna lead with this, but we, we, we gotta, we gotta, somebody filled out our. Or a couple of forms being like, you gotta stop copying tiny capital. And so I looked, I think that might must be the tagline. It's too similar. I mean, we obviously want to be them, and I will happily accept any criticism that we're, we're copying them.
We are trying to be them as best we can. Yeah. I'm all about shameless copying people that are billionaires. So I'm happy to copy every single one of them. . Yeah. But I think that's, that's. It's funny, I, I think Andrew popularized the word wonderful, but I think , stole it from Warren Buffet.
I assume that's why people, I don't know if people, as a single guy decided to fill out all their forms and say, you're copying tiny , but yeah, I, I like the word. So we're gonna continue using it. So take that. Yeah. Random stranger internet. Maybe that's the, the new way. If you want to send in topics, you can just fill out all of our forms and, and throw in, throw, throw a grenade at us.
Be like, Colin needs to shave. He's got bacteria on his. You know, whatever you need to do. But I don't know. Would you say, I mean, we, we only have a couple companies, so Wonderful. I don't know, maybe we'll come up with a new one. We'll come up with like a really distinct adjective for, you know, all the companies and then that'll be our rubric from, from then on.
But I, I would say we, we just, we could just say internet companies buy internet companies. Yeah. I tried Beautiful for a while and I just didn't think it was as nice as wonderful. But as far as who were copying, I'd say, I mean, Mark Leonard. Probably who are copying more closely than Andrew. I mean, Andrew just bought AeroPress.
Like we, I, I like the purchase, but we're not entertaining random coffee suppliers Yeah. As acquisitions. Yeah. Yeah. I mean, I get it. Those things are great, but I, I don't have any interest in doing physical product. Since you jumped into Andrew, do you wanna talk about them going public first? Yeah.
This, yeah. Huge, huge. Really exciting news. I don't know what it means for the space in general. I mean, other than being a huge positive, but yeah. So Tiny has gone from a private, you know, portfolio company and, and I, I'm confused. So I don't know much about eCommerce. I mean, I knew I knew the name, but did, did they basically bring together two players or were, did they already own e-commerce?
I mean, you probably know more about the, the backstory than I do. Yeah, they, not a hundred percent, but mostly owned e-commerce. So that's like, Bunch of Shopify apps. I think it started out at Pixel Union or some template company that they owned, sold, and then bought back and then started, you know, raising more money and buying more.
So it's like a holding company of Shopify apps effectively. But it was smaller. I don't know what the total was, it would be in the article. But they decided to do basically combine. So it's kind of like a SPAC situation. It's a smaller. Combining with a larger one, which is tiny, which is their holding company and going public.
And some of the numbers are, I mean, the new enterprise value is about a billion dollars. Andrew owns, I think 71% of it. Chris Barling owns 10%, and I think who's their investor guy? He owns just about the rest of it. Bill Ackman. Bill Ackman, yeah. Yeah. Who's like legendary activist investor. Yeah. So this, a lot of, we've talked about this.
Sorry, one, one little thing about about Ackman, if you haven't, if you're not familiar with him, I mean there's a semi, you know, famous documentary about his crusade against Herbalife. It was on Netflix and it's, it's an interesting one where, you know, it doesn't paint him in the greatest, like inve. Like he's not just a guy like, but he's a really smart guy and he was kind of going after Herbalife saying this is totally illegal.
it came down to them, you know, they ended up, you know, thriving. They ended up doing fine, but it, it exposed all this like, shady shit they do. Where, you know, it's multi-level marketing. It's, it is legal though. That being said, it was that's, that's how I learned of him. I'm, you know, not huge on, you know, a fanboy of investors and stuff, but that came out a couple years back and interesting guy.
And so, yeah. , apparently Andrew paid to have lunch, paid like 50 grand to have lunch with him was a 57,000 charity. So that's how they, you know, met each other, initially, hit it off, and then, you know, bill has invested in the holding company and they've worked together kind of ever since. So that's pretty cool.
I mean, it's cool, like you paid money to get in the room with this guy and it actually really worked out. The other cool thing here is Chris Sparling, who's like, I, I didn't know what their partnership was like. So it's 10% and 71% now, but the way it started was, Andrew had this super successful agency called Meadow Lab.
He's in the middle of nowhere, Victoria, Canada, which I've actually been to. I had a wedding out there before I knew of Andrew. Super small place just outside Vancouver on an island. It's like maybe 20, 30 minutes to drive across the whole island. But he was really successful. Had all these clients in like San Francisco, I think he went to the local bank.
And he's like, does anyone know finance? I need someone that like, knows accounting. And Chris is like, you know, at the local bank, he's like, hi, I can help you out. And then he is like, great I wanna hire you and now you're my partner. And that's like kind of how they got started. That's so cool. And now, you know, Chris owns 10% of a billion dollar company, so.
You know, congrats to those guys. It's awesome. Yeah. That is so awesome. Yeah, I guess so like the, the overall reaction is like super encouraging that like, you know, it's hard to think of somebody who's buying internet buying wonderful, inter, what do they call their companies? Are they also wonderful internet companies?
Yeah. . They, they have the wonderful ordinary companies, but even still, like they, you know, just to see, okay, there is, there's a, a pathway to going public even and seeing others do it, which is like a huge point of representation in this space, I guess, is seeing like little guys can, can turn into big ones.
So, yeah. Super exciting news. Yeah, it's crazy. So I would say it's even harder to do this in Canada, but they bootstrapped the whole. . So they'd never raised outside capital, no venture capital no, like even SBA seven, a loan bank debt to get started, that kind of thing. They just, you know, built a moneymaking business and plowed that into other acquisitions and scaled to a billion dollars, you know, pretty quickly.
So, it's just super cool to see something like this and the agency model, I mean, this is what. Yeah, the agency model works for generating a ton of cash, and I think that's where, you know, I had an agency for 15 years and you know, what I decided to do was plow that into a studio model, which, you know, I think I, I'm, I'm not saying me Lab and, and Fulton Works, were anywhere in the same realm, but still, like there is this idea of like, okay, you have all this excess capacity, you have these, these talented people.
Could you be building equity with them? And it's hard to do. It's not trivial to say, Hey, I'm gonna, you know, take resources away from paying projects and. You know, essentially allocate those to the right things. And I would say, you know, I tried it and I wouldn't say I failed, but I wouldn't, I definitely am not going public with a bunch of companies.
So, I definitely see the, the balance there and, and it's challenging and it's, it's awesome to see them succeed so well, yeah, I, I wonder why he. This is the obvious reason is like liquidity or access to more capital. But it's also just, I mean, it's awesome not having the reporting requirements and being your own private little kingdom.
Yeah. So he hasn't talked about it on a podcast yet or anything. I'm curious to hear why he chose to do it. Yeah. That, that does strike me as like, it's a whole different beast, and I'm wondering like, what's that going to impact? Maybe nothing. I mean, but yeah. You know, it's, you're now a public company.
Yeah, as you said, the reporting requirements alone would kind of scare me away, but I guess the, the, the numbers don't scare me away. That's, that's definitely the best part of it. . Yeah. I mean, they already had a public company, so maybe they had the infrastructure and decided the benefits are worth the downsides, but I mean, clearly they decided that for some reason or another.
But All right. You wanna talk about less fun stuff, legal . So I've been giving Colin a lot of shit about this topic. It's, it is a important topic, but. I've been just saying it's like, yeah, it's like talking through the Dewey Decimal system, but it, it's, it's interesting if you have multiple companies or if you have any companies, but it actually is a question I get.
It's the first question you get from people that want to start something or maybe have something, but it's all about structure, so. C corp. LLCs, what do you do with these, you know, how can they be kind of stacked in a way to, to build some tax advantage? And, you know, the, the first caveat we're gonna throw out here is last I checked, you're not an accountant or a lawyer, so this is not like advice.
This is Colin doing research and sharing it with us. So, Don't get mad at him if you fuck this up. These are my notes. And if you're listening to this in the future, far in the future, that answer is probably different than one it is today. So this is just, yeah, you know, that's the other thing is a lot of the tax stuff, a lot of the tax stuff like may go away, like the, which we're gonna talk about qsb s it's, it's definitely on the, the line.
But why don't you dive in? So like, I, let's start with a, a background here. Like, why did you dig into. Well we have three companies now. And so if you're just getting started, it's just like it's set up. An llc, go make some money. You're off to the races. But once you have one company, two companies, three companies, at some point you have to figure out how do you structure these things for like minimize taxes, minimize liability, you know, you get throw debt on each individual company or if you're gonna sell in the future, how best to.
So we were going through it, you know, thinking of this fundraise, bringing some money that isn't our own into these companies and how best to approach it. So there's a lot to go through. So we're gonna talk through LLCs, C corps, s-corps, q, sbs, gotchas, and then structuring a holding company cuz there's all different ways to do that.
Mm-hmm. . So feel free to interrupt. I'll try not to cough. I'm getting over Covid, so I'm just coughing nonstop. . But so LLCs are limited liability companies. It's an entity that provides its members are owners with limited liability for debts and. Without incurring corporate taxes. So an LLC acts as a pass through entity.
So for tax purposes, it's treated as if it doesn't exist. So you could stack 'em, you could do llc, owning llc, and basically they're ignored up until they run into a taxable entity, which is either a individual or a C corp. And so the profits just keep flowing upward until it runs into one of those things, and then that person.
C Corp pays taxes on it. So, really, really quick. This is generally like our default for, or my, it was always my default. So if we wanted to be a software consultant starting llc, you file Schedule C on your, I believe it's Schedule C, but. Just file an extra thing in your taxes. It goes, and you don't have to file a separate corporate return.
It's cheaper, it's easier. You get the corporate shield. Like it's, it's the easy go-to, and, and I think we, when we go through, we've, we've started a couple of companies just to get something started, we'll just set up an llc, right? It's the easiest thing, like through Stripe Connect, or sorry, Stripe at list and just.
Get the docs and, and this was more so a couple years ago, I think we started like avocado using just plain old LLC terms. Yeah. The, like the carrying costs are cheaper, the setup costs are easier. So if you're just doing, you know, consulting or like you have a course business or something simple, you just use an llc.
And then as you start making more money, you make over a hundred thousand or something. In llc, often your accountant will say to become an S-corp. And an S-corp is just a tax des designation. It's not an entity. So this lets you become an employee of an LLC instead of just an owner. And so a C-Corp or an LLC could be treated as S Corp four taxes.
But the one big advantage is that as long as you pay yourself a market salary, say like a hundred thousand or whatever, for most. . You only pay self-employment taxes on that W two income, and then the rest of the profits are taxed as partnership proceeds. Mm-hmm. , and you don't have to play self-employment taxes on it, which is a pretty big distinction and a big cost savings for a lot of folks.
Yeah. And, and that's how I run my consulting side of, of what I do. I mean, it's the other big thing that you can do that is a huge tax savings if you're into that world is like step ira, especially if you're the only person in that entity, you pay yourself a salary. You can then throw all of the, you know, remainders in the tax deferred account which is super efficient, but you also have to have a bunch of extra cash on top of your salary sitting around.
So, yeah, that's it. It's a great way to go to get started. Great way to go if you're doing like consulting, but for software businesses especially, you know, group of software businesses, maybe not so much. Yeah. And so l that's LLCs, S-Corp. The next thing is C Corp. So C Corp provides its shareholders limited liability for deaths and obligations as well.
But the downside with it is corporate taxes. So LLCs don't pay for corporate taxes. C CORs do And so it has to pay those corporate taxes before money can be distributed to shareholders. So this is known as double taxation. So shareholders the corporate entity pays taxes and shareholders as well will pay taxes on dividends.
This used to be a much bigger deal before the jobs act, so it used to be 55 or 37%, but now it's actually much. So C Corp tax rate is 21% right now, which can change. The top dividend tax rate is 20%, so that's 41% all in. And the top LLC tax rate is 37%. So now it is 41 verse 37, which is pretty close.
And so the big reason or one of the big benefits of C Corp in this kind of small business world is, is Q sbs, which is something people throw around all the time on Twitter. But it basically means you could pay 0% in federal taxes on a sale of a company up to $10 million. It could actually be more in different situations, it could be 50 million, but for our purposes call it 10.
And that's per person and per company. So you could sell 10 companies in one. And have it all be 10 million. But the criteria for that C corp has to be a C corp. You have to be a founder, employee, or investor and hold the stock for five plus years. There's only some sectors that are allowed, so tech is allowed.
That's great. Farms, banks, professional services like law firms, c p a firms don't qualify. , there's some funky stuff like you could give your spouse and kids all shares to multiply the benefits. I guess spouse is becoming a little murkier.
They don't like that, but I think kids are still a fair game. Um mm-hmm. , and then you could do, you know, 10 million each on all those. Q SBS has to be owned by a non C corp. It can't be owned by another corpor. So it could be owned by an LLC or individuals. And it requires the exit to be an equity sale.
You can't do an asset sale, which is the default for small acquisitions. So another hiccup there you could also roll over, which I didn't know until somewhat recently. So if you sell before five years, you could roll the equity into another qualified small bus business. So that could be, it just has to be five years total.
Interesting. . Yeah, that's a really nice one. Other kind of gotchas. Congress can kill Qs b s at any time. They've talked about doing it. , I'm sure they'll continue to try to. The 21% corporate tax rate may not be permanent, so that could go up. And then if you're all C corpse, you're gonna be paying a lot more in taxes.
If your cash pile gets beyond unreasonable needs, it could get taxed. And, you know, what is reasonable needs could differ. . Yeah. So basically you wanna go with the C corp if you're planning on selling. So, and you're gonna do it in equity sale. So that's qsb s if you wanna fund future acquisitions, it's a good way to keep cash in the business without double taxes.
So that's 21% versus 37%. Hmm. , if you have investors, it's nice cuz the qsb s and no pass through taxes. So it's easier and cheaper for them. Most of 'em strongly prefer it and some will only invest in C Corps. You could trap loss. So losses can be carried forward. If you have like a money losing startup, it's kind of nice.
If you plan on structuring for compounding a HoldCo most go with the parent C Corp and then LLCs and seeps Corp. C Corp beneath them. So it holds cash up top and then it pays the lowest tax rates. Basically profits flow up the chain of ownership until they hit that, that parent C corp and pay taxes on that.
So like pausing there, let's say you have three companies, you have two winners and one massive loser. That's, you know, you're, you're investing in growth. It allows you to essentially even these things out. So basically have these tanks using that analogy of like fluid filling up. And if one is empty but the other two are full, you can essentially offset.
With that, which is similar for our situation, right? It's like we have different entities at different stages and are planning on continuing to have different entities at different stages. So it's nice to kind of smooth all that out. , right? There's also, I mean there's, so that works great if it's a C Corp up top, LLCs beneath, but you could also do it with an LLC up top and C Corp beneath.
So if you want each individual company to qualify for Q sbs that's another way people approach it. And then there's some weird things like, so you could do a C Corp . So if a C Corp owns 80% of a subsidiary, it's able to consolidate financials. So money losing companies can shield the profits of, you know, profitable companies.
Mm-hmm. , or what was the other one? Dividend deductions. . So yeah, if a C corp owns more than 80% of another, one could deduct the dividends. So that's like what Warren Buffet uses that he could move, you know, capital around, even if it all is C Corp that he owns.
Oh, interesting. So, yeah, like there seems to be all these different mechanics. Like if you are Sass business owner, you have one business, you've got an llc, let's just pretend for, for the sake of argument, like who do you go to to, because I, this is where I always get kind of confused. I talk to a lawyer, they're like, you need to talk to a account.
And then they counts like you need to talk to a lawyer. It's like, I never get a straight answer on this stuff. And I think that's why this this info is, is good. It's like you, you kind of have to self-direct a little bit of this like, But as you've probably found out, it's this stuff's super dry and a lot of people just kind of glaze over and just like, you know what?
I'll worry about it. Yeah, I think you checked out for like the last 15 minutes here, . I mean, it's it's not the fun part. I guess that's, this isn't the reason I got into this world. It's, it's not the, the fun part to me, but it's, it's super not fun to get double tax or to pay more tax or to, you know, so it, it definitely captures your interest once things are successful and things.
You know, you can't really go back and and undo it. So it's like, who's the right person to ask if you don't want to do the legwork? Like an attorney, an accountant, both like, I guess that's always the hard thing to find somebody who's kind of has that both in-house and can give you that guidance. So it's a specialist accountant.
How did I find The one I've talked to be before in use I guess is Joyce. So one of our attorneys introduced us to this kind of specialized accountant. Oh yeah. Who knows how to structure these things. Yeah, shout out to Joyce Council. Yeah, so it's not like, I don't know, not our normal bookkeeper or accountant guy.
It's like a specialist that you know, good charges way more per hour. But if with all these like professional people, the good ones, at least you could talk to them for the first meeting for free. And that's actually what you get most of the value out of, at least for this kind of thing. You just have to know like what the recipe is and then you could go hand the recipe to someone else to cook it.
Um mm-hmm. . So that's kind of how we, we got there. So if you need a advice, you could reach out. I could connect you. Yeah. And, and now that you've, you've done this work, now that you've, you've kind of gone down this path. Are like, are we, I'm pretty sure we're gonna change our entities around, right? Like we've, the the impetus for this was like, Hey, we, we need to convert some things.
We need to change some things. So, is is that the game plan essentially is like we, we want to basically look at switching all these to C-corp? Yeah. I think anything we think is gonna sell for a meaningful amount of money should be a C corp. Even if we're not sure it's gonna happen. The downsides are pretty.
Like the tax rate is not significantly different. Um mm-hmm. and the upside is monstrous, right? If we end up selling these things, you know, scout takes off, automatic takes off, we sell it for 20 million. Like that is a significant difference in taxes in the future. Mm-hmm. for us. And it's not like, I mean, it's a little more of a headache, I guess, the chance for things over, but it's not a big deal.
I don't know. It's a few thousand dollars or something. Yeah. Well, now's the time, right? It's like, , these acquisitions are fairly new. Everything's within, you know, a year or two. I mean, there's not a lot to, not a lot of history that we have to kind of go back. I mean, I don't even know what the process changes.
Not that we'd have to do an audit or anything, but again, we don't. We haven't grown these things to the point where it's gonna be so difficult. Well, it's easy too cuz we own all the equity, right? So it's just you and I resigning things. It's not like a bunch of employees and investors. That would be more complicated.
Yeah. And I'm waiting, waiting until you asked me to sign it. I'm like, Colin, we need to talk about equity. We need to have, we need to have a heart to heart. No, just kidding. Yeah. Yeah. It's an interesting, interesting subject. I mean, it's a necessary evil right? To like structure these things. I guess like the, the one question I'd have is like, and we, we've talked about this on prior, you know, bow prior acquisitions of like, , have you thought about or, or seen anything like converting or, you know, essentially acquiring like a foreign entity?
Because we've had a couple deals now, two so far, that got I don't know if we had 'em both under loi, but two that got at least close to that, where, you know, we were gonna have to set up something here, sell the assets to it from. You know, a foreign entity and, and figure that out. I mean, I guess that's a good question for folks that are, are thinking of doing acquisitions, especially ones that are even Canadian or Mexican, whatever, you're, you know, something outside the us.
I don't know if any of it matters. I don't think it cares. Right. If you're setting at the C corp here, qualify for Qs, ps you buy all the assets, bring it into it. Mm-hmm. , you know, the US government doesn't really care about anything that's outside the us So to them, yeah, the company looks like, you know, you bought it for 40 cents or whatever, or $40 I think is what it normally is with the C corp.
If you buy, you know, 50% nice. I think that's all they care about. Makes sense. Well, this has been a great chat about accounting in corporate structure, but I important nonetheless. I mean, I think, you know, as we think about, we kind of go back and forth in this idea of having like, is this a holding company?
Is it not? Are we gonna sell these things? I mean, like, strictly speaking, it is not a holding company in Mya. I don't know. I went to the HoldCo conference and came out of there thinking this is, we don't have, like, we would totally sell these businesses. Are you kidding me? Like, if somebody came around and said, Hey, here's, you know, the right.
Like absolutely would sell these businesses. But you know, I would still say at our phase of growth right now, I, I think of it as a holding company. I think of it as like we're using, you know, proceeds from one business to, to try to help grow another. Like we're moving these things kind of up together.
And so maybe it's, I think there was another distinction that we defined that's, that's better for it. Anyway, accumulator is what accumulator is, what Constellation would be considered and what we would be considered. It's like on the spectrum of a holding company I mean, yeah, we definitely are. You could be a holding company that sells, that's often why you end up with an LLC up top and you know, c CORs below because you want mm-hmm.
each of those to do Q sbs. And it's more flexible governance to do lc up top the, the other question. Do you need anything up top or we just as individuals own the qsb s you know, qualifying shares. And the reason you put it obviously is like flexibility. You could bring investors onto that top range and more flexible governance and different things.
Makes sense. Makes sense. Cool. Well, I mean, I think it's, it's been interesting to at least. Walk, walk through in the context, you know, all this stuff is abstract unless you slap like, okay, our business is on it and see like, okay, well what is this actually gonna mean for us? So that part of it is always interesting.
But yeah, I mean, I don't have any other questions. Anything else you wanna mention about this before we move on to the next hot topic? I mean, just get good advisors. This stuff matters a lot. Like if you're actually thinking of exiting in five years. So getting things set up properly at the start is good.
Hopefully this is like a nice introduction for you, but it shouldn't be what you're basing all your major life decisions on. So yeah, go talk to someone that knows it better than me. Yeah, I mean, I guess the thing that scares me about the Q SBS is that it can go away. Like that's, it's such a holy grail.
Everyone kind of is interested in that and it's a great Incentive. But yeah, I just get nervous that like somebody else gets voted in or there's some political noise that happens and then it's like, yeah, it doesn't exist anymore. And that's the whole reason I, we did something or made a choice. So I guess there's just has to be other, other reasons backing it.
Yeah. I mean, what would be bad is that the C Corp tax rate goes back to like 40. And then QPS dies and then you're paying like 60% instead of 37 and for no real benefit anymore. That would be, you probably just reorient things somehow . Cool. But yeah. Any, anything else? Anything else you wanted to mention before we move on?
No. Alright. The other big update is I survived Covid. It turns out Covid is not fun. Yeah. I haven't been sick in like five years. I didn't enjoy it. I don't recommend it. Yeah. So how did you get it? First of all, was it probably flying? , it had to be just timing wise. I think sometime in Chicago, I've been in Florida and I'm staying in Florida for the, you know, number of extra weeks here.
But yeah, I just, I dunno, COVID really got me, it was really not fun. I just stayed outside, try not to get anyone else sick, and seemingly got no one else sick. So it was successful in that case. So the worst part about it, and I don't know, like I've had it a couple times, but the one time I've, I've had it was just the fatigue.
Like, you're just tired, you can't do anything, and you're just worth. Did you feel like that? Yeah, I had a bad for you to her throat. The bad sore throat was probably the worst. I'm also just a complete nose breather, so not breath. Being able to breathe out my nose is like the end of my life. I just couldn't breathe.
That was not fun. But that was only like two days of it. And then, yeah, just tired, just basically laid. We have like an outdoor couch, so I laid outside all the time. It's just like contaminate everyone else. But yeah, you nice. You look like you have a nice little tan, nice little glow, a little post covid glow.
A little bit. Florida's treating you well. Yeah, I like warm weather. I'm pumped to move to Austin. Oh yeah? Yeah. So when, when, like, I guess going on to personal stuff, you are coming off, so are you like officially back from your paternity leave now? I, I mean, it's fluffy, right? So we don't have daycare yet.
Daycare starts in like a little less than a month. That's what are you doing for daycare? Questions? What do you mean? It's just like the local daycare. . Oh, you're gonna do drugs. So we had a nanny though. So like that, that's what I mean. Like we had a nanny and you know, my wife was very opinionated about this stuff and I kind of wished we did daycare.
But I think the downside is they get sick more, but they end up gonna school and they end up getting sick anyways. So, yeah, that'll be, so you're doing daycare every day and when you go back to Chicago, Yeah. Basically a little less than a month. All, so I have other friends that have gone different ways.
They say babies don't get this socialization benefit to like, it's a year and a half or something like that. Yeah. So I guess technically babies don't play with each other. They just are in their own little worlds for like a little over a year. So that's a reason to do a nanny. . Yeah. But we're also moving to Austin, so we're only at daycare for like three, four months or something like that.
Before the summer's up. Shit, it's coming up soon here. So you're moving and then do you even, like, have you looked at houses? Like the, the whole moving thing? That's gonna be a whole, a whole thing. Yeah. I've been looking at like neighborhoods and just trying to get like a feel for real estate there.
My wife's start date is like October 1st. October 2nd. Okay. So we have to be down there for then. So we're kind of thinking, you know, trips over the summer to try to find a place. All right. Well holler at Colin. If you're selling a, a really well priced home Yeah. In, in the Austin area, I guess, like, are, would you guys rent for a while until you like found the right, right place?
I mean I think ideally you find something you buy over the summer, but yeah. I think that's probably where we end up, but so real estate in Austin's also gone nuts, so it's dropping. Yeah, I think. 15 more percent is what Goldman Sachs was predicting this year. Yeah. So I'm hoping that happens sooner rather than later.
Not like after we buy it. So we'll see. Fucking Joe Rogan moves anywhere and, and then it's over. The housing market's just, you know, light on fire. It's, it was Malibu and now it's, it's Austin . I'm kidding. It's totally kidding. You know, I gotta say, the one thing I've been realizing lately is like the wealth of having grandparents around.
Like, so my, my folks don't live anywhere near me, but. My in-laws do and just like, so when, when somebody gets sick or whenever, I gotta say, that's been an amazing thing. Do you think anybody's gonna come down? You know, maybe have a place to stay or are you setting up any, any landing pads for, for family?
Yeah. So I, in Austin there's a lot of these homes that like bungalows and then they have a cita and back, so like a little crew standing house. So I, in, I think they have pretty lax like building permits and everything. So ideally we buy a house with one, and if they don't, I think it's fairly easy to get one built.
So that would be the plan. And it's Austin, so I think people are gonna be happy to come visit the warm weather. All our family's in the Midwest, so yeah. At least that's the hope. We'll see. Very cool. Well, we're excited to see, you know, as things come back to, to reality, we've got a lot of fun stuff to work on.
You know, all the things that we're working on as far as having you back full-time off of, off of parental leave. Yes. Yeah, back to it. I'm excited. done with changing diapers. I think that's it. I don't know, I, I, any updates on my end that are more product oriented, you know, but I don't wanna bore people with that stuff and we'll just bore our customers with it.
Yeah, we'll have more fun updates on Scout and everything, I guess soon. Let's just batch it all into an episode. Yeah, yeah. We should, I can rant about all the code and, and other stuff. But yeah. We'll, I think that's all we got this week. Right? Anything else in your end? I guess that's the list of topics I got.
Yeah. Yeah. Sounds good. All right. Till next week. Take care everyone. Thanks for listening.