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Updated 8 months ago, 05/03/2024
New to MF investment, coach wants 50/50 profit split. Should I do it?
I have been investing in residential RE since 2010 and have bought and sold RE within that time frame, but it's all in residential space. The most multi-unit I have done so far is 2 units. I am in talks with a reputable company that signs up proteges in commercial RE, but I am struggling a bit with their terms: the sign-up fee ranges from $10k - $40k, and a definite 50/50 profit split up to $1M mark, meaning the individual gets up to $500k, which could come from cash flow, cashout refi, sale, etc. There is no time cap on the $1M mark.
I have immersed myself in many educational materials over the years and plan to continue doing so wrt multi-family RE investing. I still manage my own properties myself today and have a decent structure in place for that. I am trying to decide what I would lose by not working with this individual with a good track record and a large YouTube following. I feel I could continue leveraging content here on BP and other reputable sources for coaching without giving up this much in profit. Am I greedy or overthinking this? Please share your thoughts. Thank you