How to structure a flipping business with a private money lender

[Daniel O Orozco]

Hello Everyone!

About 2 months ago I got referred by a realtor friend to an upcoming listing client of his to do a cosmetic remodel (new kitchen cabinets, bathroom vanity and new vinyl laminate flooring in the whole house 1000 sqft.) The owner and I really hit it off and got along from day 1. A few days went by and she mentioned to me she was moving to Texas once her house sold, so I made sure that her house was one of the nicest new listings in the beautiful town of Morro Bay CA. During the process I told her about my real estate investing goals and ambitions and how I got my CA real estate license, and been wanting to get started on flipping houses. By that time I had worked for two of the top local producers agents/investor and felt ready to go on my own, also big shout out to the amazing team of knowledgeable experts of bigger pockets and its members that motivated and inspired me.... By the time the house closed escrow I had all my stuff packed with hers in a UHAL and decided to moved to Houston, TX. with my new money partner. I arrived Saturday  July 29th and yesterday had a great meeting with a local agent and flipper ,who was refer to me by one of the investors I worked with. and now is going to help me get started and find my first project. My question to you is... how do you recommend me to structure/plan my relationship with my money partner to create a proper balance between asset protection, taxation, complexity and financing? she is lending me 150K from her sell proceeds and I need to show a balance statement with this amount in order to put in offers thru the realtor.