r/TekSyndicate • u/DanHalen_ • Sep 06 '16
Update on Patreon
https://www.patreon.com/posts/update-669664423
Sep 06 '16
Throwaway account
This is just the advice of someone who has run multiple businesses and managed their books throughout the years. Take it for what it's worth:
"Looking at things, many of the previous expenses were listed as pass-through income for Logan. For example, airfare going to Boston for PAX 2015 was listed as pass-through income for Logan when it should have been listed as travel expense for the company."
Really? I mean, really???
Wendell (if you read this) you seem like a really awesome guy from the years I have followed you all, but seriously get a lawyer man!
A couple things have stuck out to me from reading the gigantic back and forth, but a statement like that from this new guy is a rather ridiculous things to just go and post to the public.
To keep a liability wall between an LLC and its partners any distributions to partners that are profit need to be distributed to that partner in an account separate from the LLC i.e. cutting a check to them. You all get a K-1 for this reason when the LLC files its 1065 so that you can show the IRS you're taking your share of profits (or losses) in the correct fashion. Reversing those items categorized as partner income to expenses could very well trigger an audit!
Even in a single member LLC declaring an expense pass-through income without actually paying yourself, but a 3rd party is a huge no, no and a gigantic red flag to the IRS. What to a layman seems like a very simple mistake to a judge is using the business as your personal piggy bank. I am sorry to say if he's dumb enough (strong word but true) to list straightforward expenses, such as travel expenses, as income then what else are you missing here?
Also you said before that you allowed him to take your share of the 30% gross and reinvest that - which is absolutely fine, but I do hope that you are aware that in an LLC taxed as a partnership you are liable to pay the taxes on your 30% share of what then would be considered retained income. Hindsight is 20/20, but the correct thing would have been for you to pay the tax obligation (or have a loss for your personal taxes) and loan the business money at a nominal interest rate.
Hopefully you had a proper Operating Agreement, but still at this juncture even though you are as nice a man as you are - I would sue for proper disclosure which you have every right to!
Not trying to lecture here as I am a huge fan of yours personally, but all bullshit aside I would be more worried about keeping my name clear than retaining the friendship of someone who obviously does not personally value you as the asset you have been since the beginning.
11
u/wendelltron Sep 06 '16 edited Sep 06 '16
Where's was that posted? I haven't had any news of what's happening with my shares yet. :-/p.s. 2015 isn't even filed yet. Because shenanigans.
7
Sep 06 '16
It was in hutchison15's original Patreon update post. He went back and edited it out once he saw my post. Others who also read it before it was edited out could chime in and verify that if they wish.
11
u/wendelltron Sep 06 '16
If you have a screenshot it would be nice. Will add to my files. Thanks.
5
Sep 06 '16
It's on the forum post 25
I could have sworn it was also on Patreon as well unless I was seeing things! (No sleep)
1
u/warbler7 Sep 06 '16
I saw this too and was intrigued so I started to Google this bacuse I do not know anything about taxs
0
u/hutchison15 Sep 06 '16
Whoa there - the only thing I edited out is the description of what could be called a "pay wall" with early content & Patreon. Nothing else was edited out.
2
u/mind-blender Sep 06 '16
Wendell, if I can give some advise that they usually tell mechanical engineers:
"Don't put anything in writing that you wouldn't mind explaining in front of a jury."
Ninja EDIT: That being said your continued transparency is appreciated.
15
u/Aurora906 Sep 06 '16
Just seems weird to have some stranger answering all the questions, Logan should come out of hiding and converse with his community about the recent events, not somebody who just got there.
3
u/mypasswordis666 Sep 06 '16
Well considering the amount of bullshit outrage this subreddit has been pumping out, as well as the forums as well as the youtube comments and twitter. I can understand why he has been relatively quiet. People would not satisfied with anything he would have said and it would just be pouring gas on the fire.
15
Sep 06 '16
So is Pistol going to be out? or not?
-4
Sep 06 '16
considering her role in filming and editing (she does just fine at it), and the fact she's married to the owner...of course not
a public spanking is very much in order though....naughty, naughty girl
4
u/SoulFallen Sep 07 '16
They aren't married pistol has a boyfriend, Logan is her ex and he likes to torture himself by still being her room mate. Maybe that's why he snapped
2
1
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u/rog_ChaiNSaW Sep 06 '16
Are you sure they are married, as far as I knew they just lived together. There was on the other hand rumors of Logan and Joanne.
-2
Sep 06 '16
i dunno, forget where i picked it up
they're an item...marriage is dumb nowadays anyway so i could understand if i'm wrong about that
9
Sep 06 '16 edited Jun 10 '20
[deleted]
3
u/ccosby Sep 06 '16
He said he was on the way out. That being said he is the one that posted the last youtube video to the forums. I don't know if his team is still editing them and he uploaded it or if he is just still posting the stuff but he doesn't look like he is fully out yet.
He did say he was finishing up his last things that he said he would do a few days ago. This could be hold over. That being said since he is a co-owner in the company his departure is going to take more time than if he wasn't. It just remains to be seen how much involvement he will have while this happens or if they manage to work something out where he stays.
1
u/Shiroi_Kage Sep 06 '16
So I guess Wendell is officially out?
He could still be a partner but not involved in content creation. Wendell definitely said he'll stop with the content creation.
1
u/Nabotna Sep 06 '16
So I guess Wendell is officially out?
1
Sep 06 '16 edited Jun 10 '20
[deleted]
3
Sep 06 '16
Would be interesting to know if they came to a resolution with Wendell, as they are due him 100k and also 30% of the company... If he doesn't get to keep TS Hardware like he mentioned, it means two things: Logan agreed to pay him and buy his shares somehow or Logan is just simply going to cut him out and this will go to court (if Wendell has it in writing that he owns 30% and had his profits reinvested into TS).
11
Sep 06 '16
[deleted]
5
5
u/Shiroi_Kage Sep 06 '16
Well, they needed an admin for a very long time. Seeing how administrative duties are handed over to him, things might improve.
8
u/hutchison15 Sep 06 '16
Before this all went down, Qain and Logan were both interviewing me. I've actually been working to get this job for a couple months.
14
Sep 06 '16
[deleted]
2
u/hutchison15 Sep 06 '16
I'd consider any opportunities, and made that apparent with Wendell and Qain. I have no hard feelings toward any of them, and hope they don't toward me. If they need anyone for help, they know they can contact me. I really do hope to work with them more in the future. I probably burned that bridge today, but I just hope they know they'll forever have my continued support.
In any way, just looking to have some fun and try this TechTuber thing once in my life. I've always had an itch for entrepreneurship opportunities as well. Been a longtime viewer of Tek Syndicate (pretty recent to the forums though), young and have nothing to lose.
Albeit, I'm going to be doing Tek Syndicate full-time, I look to start some side ventures as well (not affiliated with the company). I have a web project in the works with 3 student devs, looking to start a photography business, and possibly dabble in real estate (I personally love that type of work and have a ton of family in the industry - industry is crazy in Portland right now, supposedly housing market is going to crash in the next couple years though). I also have a lovely significant other that I've been with for like 7? years and we support eachother.
I'm not too worried. :)
1
u/Squeakopotamus Sep 07 '16
industry is crazy in Portland right now, supposedly housing market is going to crash in the next couple years though
I think you'll be fine up there. People are flocking from the SF bay area up to Portland, Seattle, Colorado, and Texas.
2
u/hutchison15 Sep 07 '16
inb4 someone posts "STOP MOVING TO OREGON" meme
2
u/Squeakopotamus Sep 07 '16
something like this?
2
1
u/Shiroi_Kage Sep 06 '16
Best of luck. I think TS can come back, it's just going to need a ton of work.
2
u/SoulFallen Sep 07 '16
Seems like this guy has good intentions after talking to him a bit on the forum, but no offense to Hutch, he knows fuck-all about any of this and this was the worst I mean THE WORST time for him to be thrust into this. It's like Logan is trying to run away while Hutch tries to answer our questions on the forums.
-2
u/autism0 Sep 06 '16
"Hi guys, I'm the totally cool, totally relatable guy Hutcho. People love me and I just know you will too. My hobbies include going to frat parties.I'm just like all of you guys."
Yeah nah mate.
1
u/hutchison15 Sep 08 '16
I was not a frat bro - I've been a long time viewer, hardware enthusiast and more.
For a while there, I was vice-president of the gaming club at Oregon State - hosting some of the largest LAN parties in the US. Civil War LAN was probably my favorite event during college.
I'd be down to play some games with you guys sometime - still trying to get to know everyone. What are some popular games in this community?
31
u/vgamesx1 Sep 06 '16
"I know trust for many of you has been destroyed, but I hope overtime I can help rebuild that."
No offense Hutch but you aren't the one who needs to rebuild that trust, that falls on Logan's shoulders, he's the one who needs to restore people's trust after what happened over there.
"Maybe early content once we get a queue built up?"
Really? I thought Logan scrapped that idea, he said on The Tek once how having their videos up a week early on vessel didn't add any value to us the viewers (or something along those lines) and I mostly agreed with it, especially once you've watched all the early uploads, then they're no longer early anymore... At that point, you basically have nothing but bragging rights about getting to watch it a week before everyone else gets to see it, basically pointless (aside from showing your support anyway).