How to divide the spoils??

[Jeff Gallant]

Hello Everyone,

Just looking for some advise from some pros. My mother and father and I are considering going in together on a fix and flip property. Just for informations sake, my mother and father are no longer married but are still great friends. The plan is this. My mother would be putting up most of the capital and helping with the managing of the budget. She's not real good with spreadsheets or with how much it costs to renovate a house, so I'll be setting up a spreadsheet and coming up with a realistic budget for the project and she'll input information and keep my father and I on track with the budget. My mother doesn't have access to quite as much capital as will be needed so probably about 25 to 30% of the costs of the purchase and renovation will be financed by a line of credit in either mine or my father's name. My father and I will be equally sharing the workload of the actual renovation. My father and I will be doing most of the work ourselves but will be hiring out a few things. My question is this: How do we divide the spoils when the job is done and the property is sold? We want to come up with an agreement before we proceed that will be fair for everyone. My initial thought was that my father and I would take an equal share while my mother would take a slightly smaller share where she won't really be doing any of the work. So, this is the plan. Any opinions and/or advice will be greatly appreciated.

Thanks very much,

Jeff Gallant