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Updated almost 7 years ago on . Most recent reply

User Stats

7
Posts
2
Votes
Michael Kopyscinski
  • Investor
  • Westfield, MA
2
Votes |
7
Posts

How much to pay an investor? Interest Rate, Percentage, Term?

Michael Kopyscinski
  • Investor
  • Westfield, MA
Posted

BP,

I am working with several people on gaining capital for my business and I have a few questions in regards to investors. I am researching the site as well to find some information on this topic as well.

When an investor provides you with capital what are some basics terms?

Can I or do I offer an interest rate and over a period of time? If so, how much and how long are terms usually?

Can I or should I offer a percentage of the profit after each flip?

I'd like to hear what you all think about this.

Both investors are putting up 50k.

Thanks for your help.

Most Popular Reply

Account Closed
  • Johnson City, TN
705
Votes |
586
Posts
Account Closed
  • Johnson City, TN
Replied

if you could get a loan for flips at 10% with no points that would be a huge win for you. 10% secured for an investor that is drawing 1% in a CD is a huge win for them. 

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