One partner with money, the other with credit...fairest split?

[Jefferson Smith]

Two partners are working on a deal for a small multifamily (under 5 units) and getting a standard mortgage.

One partner provides a bit more experience and about 3/4 of the capital.  

The other partner is securing the loan with their credit. 

The structure being contemplated:

-- The cash they each put in gets paid back with interest/return. (Big/key question is what the % should be)

-- After that cash is paid back, they own the property equally 50-50. 

What would be a fair return for the cash provided up front? 8% like a preferred return? 12% like a hard money loan? Something else? 

Other structure suggestions welcome too, but an answer to the interest rate / return question would be really valuable. 

[Curt Davis]

Structure it like you stated but once he partner who gets the loan closes on the property, you then quit claim the property into an LLC that is owned by both partners 50/50.

One thing, the experienced partner can not contribute any down payment funds to the partner who is getting the financing. That money from experienced partner would have to be put into other partners account to be seasoned for 2 statement periods in order for the lender to use it for the financing. 

Good luck !!