Crowd sourcing projects

[Jacob Bremer]

Hi all,

I am currently a realtor and myself and a partner have done a couple 6-10mo flips on our own. It's been very handshake agreement, and he's a friend so no issues. 

I am now getting a lot of traffic from other friends, past clients, etc. who want to get in on the action. Without much effort, I've verbally raised quite a bit of money to fund some more projects.

With more people getting involved, I am wondering the precautions and things I should be doing to make this more legitimate and be able to potentially present this to larger investors down the road for bigger project in the future. Should I get an attorney to write a contract? Do I need to be sending out monthly reports on progress? I have an S Corp for my real estate business, so for the past projects, I've just been keeping the money in the business account and providing monthly statements to my individual partner just so he's in the loop. 

Any advice would be appreciated!