Question re Strange Partnership Request

[Penny I.]

Hello All,

I have a question regarding a request one of my clients has had to partner in some commercial investments. He's been presented with an LOI from Mr 'X' that essentially has my client as the 'front' person and the owner of 100% of the shares of a new limited company. This company would purchase several commercial properties that Mr X has arranged financing for, to re-structure/renovate etc to increase revenues and build equity. My client would be in charge of all operations. Mr X has asked my client to also sign a 'side agreement' that splits shares 50-50 between them.

Is this worth even taking to a lawyer and accountant? Are there any legal and accounting brains out there who might shed some light on what could go right...or terribly wrong in this scenario?

Thanks! Penny

[Joel Owens]

What I see is people many times do not use an attorney in the beginning. Then later on pay much more when everything goes wrong.

An attorney used in the beginning helps keep problems from becoming huge down the road.