Structuring Partnerships for Flipping/Rental Business
What is the normal percentage for a managing partner in a Flipping/Rental business? Me and my partner currently flip and invest in rentals but I manage the business 100%. We work together on the rehab portion and split expenses 50/50. We have been splitting the profits 50/50 as well. Here is the problem. I find the deals, find the contractors (when needed), pay the bills, find legal support, organize the business, etc. I'm also a licensed realtor so I have been buying/listing the properties as well without technically getting paid. I am working with our RE attorney and editing the operating agreement. Just wanted to get an idea of how other flippers/buy and hold investors structure their business. Is 10% extra normal for a managing partner? My long term goal is to complete a limited partnership structure while creating multiple LLC's/ partnerships underneath that entity. Any advice is greatly appreciated.