% payout for all parties???

[Mike Cooney]

I just joined the site and have flipped a few houses on my own. I am sure my question has been asked and answered because it seems very basic but I just don't know the answer so here goes.  I have someone who wants me to invest in properties so I would buy the home to flip and it would be in my name. I would also supply all the money for materials and labor. My "partner" would have all the work done. I  would be the money guy and he is the work guy. When we sell the house I get all my money invested back (Purchase price, labor, materials and closing cost) then we split the profit 50:50. Is this the standard? Is it a good deal for me??

thanks Mike

[Brian P.]

Just a warning, this is common but what is also common is friendships become ex-friends.

This guy appears to have no skin in the game whatsoever and if he bails he is out nothing. You don't say what qualifications he has to do the deal, any track record at all.? I wish I could just say go for it but over my lifetime I have seen to many train wrecks. On the other hand early in my career I was the guy who did the deal and split with the money man 50/50 and each of those deals worked out fine. So it is the old story, place your bet and spin the wheel, and don't cry if you lose, because that is the chance you took when you placed your bet.