Loan vs Capital Contribution for Down Payment

[Dow Lin]

BP,

How can I get money for a down payment to a holding LLC?

My partner and I plan to purchase our first investment property under a LLC we are setting up for this venture. We plan to own the company equally.

He is the money and I am the labor(through my management company).  He will provide the down payment for the property as well as guarantee the loan.  

Would you guys recommend having my partner contribute the down payment to the LLC as a capital contribution? Or should the down payment be loaned to the company (so he can be paid back with interest)?

Thanks in advance,

Dow