Cut or bulk for a skinny/fat newbie

[fngJD]

After seeing the progress I have made since last fall, (230lbs to 170lbs, then adding about 10lbs of lean mass over winter) a close friend recently told me that he wanted to start working out with me to get in shape. I can help him with info on his diet and get him started on a routine, the problem is that I don't know if he should start bulking or go on a cut. He's 26, about 5'11" and approx. 190 lbs. He's got that skinny/fat thing going, and like most guys his fat is located around his sides and gut. It's not too bad, but it's there. He doesn't have much muscle mass to start with, no chest or arms, having never lifted weights in his past. So my question is, should he ignore losing the fat around his mid section and just eat above maintenance and start on a good lifting routine and then cut after gaining some good lean mass for a few months, or should he eat below maint. and go on a cut to get rid of the gut? The trouble with a cut is that he will look pretty gaunt because he doesn't really have much to start with. I thought maybe the best thing would be to get his BF% down and then do a clean bulk, but I know that more lean mass means a better metabolism and when he DOES cut he will have something to see under the fat. Really want to get him on the right track with fitness. He quit smoking and this is the next step. Opinions? Suggestions?