Private lending / Partnerships

[Andy Acosta]

Looking at doing my first partnership with another investor so very new at this. We’re looking at doing a 50/50 equity and rev split. Do we technically have to have both names on the title in order to share the equity ? Or can I have a separate contract arrangement agreeing to that with just one person on title ?

[Danielle Jackson]

Your partnership agreement can lay out how everything is handled, including title. But the revenue /equity split is the easy part. I highly recommend setting clear roles/responsibilities. Will you both be active investors? 

Take your time up front in building the agreement, including who has veto power (if necessary) and can make final decisions when you can't come to agreement. Believe me, you think it will never happen and it absolutely does!