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Updated about 5 years ago on . Most recent reply
What type of partnership should we form?
My brother (Rez) has a real estate investment company with a partner of his (Sam) which basically bought multi-family units and condos, repaired and rented them out. Income is earned from the rents. They own 13 units at the moment. I own 4 units. We want to form a partnership that benefits all three of us and allows us to raise money ($2 million) perhaps in the form of an equity fund. However, my brother wants to play a limited partner role, so Sam and I will be playing the general partner roles. Sam has a full time job and will help part-time. I have time and can make this my full-time job if the pay is at least $5,000 a month. What type of partnership should we form so that our interests are aligned and different roles and amount of responsibility is recognized? Do you know who can answer such a question?
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@Matt N. It takes a bit of research but there're plenty of posts on BP and outside of it about various business structures. Here's one example:
https://www.investopedia.com/terms/d/debtfinancing.asp
The same applies to finding an attorney, look through old posts to find either attorneys or local investors to ask for recommendations.