ELB Consulting, Inc

For building owners, investors and the accountants who advise them, ELB Consulting, Inc runs cost segregation studies. The firm has been in this line of work since 2002, and says its clients span all fifty US states.

Splitting a building into faster-depreciating parts

A cost segregation study examines a building and separates its parts into groups that can be depreciated over shorter periods. The firm explains that a building is normally written off over 27.5 or 39 years, while some of its components can be depreciated over five, ten or fifteen years. Faster depreciation reduces current tax liability and frees cash that the owner can use for other investments or to run the business.

Engineering detail behind the walls

The firm says its studies are fully engineered, with in-house engineers who look for the depreciable assets that a conventional study can miss. They break down the building's parts and look at the components hidden behind walls, and the company says this produces more tax benefits than a traditional approach. The reports are described as thorough and designed to avoid leaving money on the table for the owner.

Who the studies are for

The firm's service is aimed at owners and investors with larger properties, and it says a study is most useful when a building is under construction or when an existing property is being reviewed. Its own guidance suggests that smaller projects, which do not need detailed asset breakdowns, can use a do-it-yourself tool on its site instead. Its guidance also covers multifamily properties and rental properties, and it works with certified public accountants who refer their clients to the firm.

Services beyond the core study

Alongside cost segregation, the firm offers pre-construction guidance, research and development studies that can support research tax credits, energy tax credits with energy audits, and construction audits. Its FAQ pages explain related tax topics, including 1031 exchanges, Section 1245 and Section 179D, so that clients can understand how each element fits with their overall position.

Project management and client work

The firm describes a managed process. Its project managers collect the property information needed at the start, then carry the work through to the report, and it says clients do not have to make a large effort or disrupt daily operations at the property. A dedicated project manager is assigned to each client.

Guarantees and track record

The firm says it has completed more than 14,000 studies since 2002. It offers a quality assurance guarantee and lifetime audit protection, and it states that no study it has prepared has been rejected or denied by the Internal Revenue Service. The firm presents these as its own claims about its work.