Issues with hard money loans

[Alex Trinh]

Hey guys, 

My buddy and I are trying to start out fixing and flipping but can't seem to get things going. I was wondering if anyone has any recommendations on lenders. We are looking to do hard money but we keep running into several issues. Almost every lender we've looked at requires us to have an LLC, they also require the use of license contractors. We both have background in construction but neither of us are licensed or expert by any means. Are they're any lenders out there that will work with first timers without being an llc and without being licensed? Or does anyone have any recommendations on how we can't get this started?

[Michael J Callinan]

I have not seen any hard money lenders work with anyone that doesn't have an LLC yet. I'm sure you can understand why they are requiring you to hire licensed contractors. If this deal doesn't work out, they own the property and the last thing they want is to re-remodel it because something was not done to code. If you are serious about getting started, start a business. I wouldn't recommend starting one with a friend. Things change as time goes on, you should each open one then purchase property as a joint venture. That way you won't have to split assets, cash, and other items if you choose to go your own way.