Entity Formation Question between 2 Partners when one is a licensed RE Agent

[Brandon Foken]

I have a question regarding entity (LLC) formation between two partners when one of the partners is an active real estate agent.

To give you some back story, myself and my partner split all marketing costs 50/50. On the back-end, we split all profits 50/50. Obviously, we want to make sure that we are on the up-and-up so I'm wondering what sort of "triggers" there are that would require us to disclose that he is a licensed real estate agent.

For marketing, we use our investment name (not the brokerage name) and only my name is attached to marketing pieces. If people ask, I let them know my partner is an agent, but it is not mentioned in our mail piece.

The real question, for us, is when buying a house under a LLC for either flipping or wholesaling purposes do we need to disclose that he is an agent, and if so, do they need to sign an agency disclosure agreement? If his role is just splitting costs with me and nothing else, does a disclosure need to take place? Any advice or general knowledge about this matter is much appreciated.