How would you set up Partner equity?

[Ethan Tanner]

We are relatively new to real estate investing and are wondering how the more experienced investors would handle this situation.

We have someone who has been driving for dollars for us and has found several off market deals for multifamily properties ranging from 4 to 16 units. We have put in several offers and they are currently pending. Initially we had offered a $10,000 finders fee for any properties that we closed on. The person who has been finding these properties has decided that he would like equity in the deals. He has no cash capital to contribute to the deals (all of which will have about 25% down payment and another 20-100k in rehabs.). We would like to bring him on as a partner as he has been instrumental in finding these off market deals but we are unsure how to do break down the equity in the deal. What are your suggestions?