Investing Other People's Money

[Matthew Powell]

We are finding the biggest hurdle of getting ourselves another investment is... MONEY!! We need to come up with a large enough down payment to get the ball rolling. We keep hearing of people using other people's money to start investing. HOW IS THIS POSSIBLE? 

I think what I don't understand most is how the breakdown of the deal would work for both parties. Lets say I found a deal that requires a $30k down payment. I find a partner willing to pay the full downpayment and go into this deal. What do we do from there? There has to be some form of a written agreement on who gets what of the profit, who's in charge of maintenance, what happens when a partner wants out, who's on the loan/title... etc  

I find it hard to believe that this person wouldn't just take this deal and run with it on their own since they are funding everything with their money and I won't be giving a dime. Everything I would have to offer they could hire a management company to do the same. 

Looking for some guidance on how a partnership like this would work. As this could be a great tool to add to my belt that would help us get on our road to financial freedom faster. I would love to be able to be the one providing the down payment for others, but we are not quite at that point yet.