How to put an equity value on project/property management?

[Michael Doherty]

Hi all,

My partner and I have found two individuals to help fund a commercial deal we found. The total amount  down will be roughly 300k. My partner and I don't have any substantial money put down however, we will be managing the entire project from start to finish. After two conference calls they are both excited but are asking for some money on our end (50k total) to have some skin in the game. They are not looking for a return but rather equity. 

My question is: how much equity do you place on project management/property management? If they are responsible for 250k of a 300k down payment and we are responsible for finding the deal, project management and property maintenance, how do you split the equity? 

How we ended our last call: They start with majority equity and when we refinance and make everyone whole it becomes 25% each (100%/4 partners). But determining that initial equity is where I am struggling. Lastly, if my partner and I end up managing the property full time after rehab that also has value so it should not be a 25% split..... Our partners understand this but we have yet to put a exact number in writing. 

Property management would be on 4 commercial spaces/22 studio apartments above (same building) roughly 330k gross income. 

In our minds, this deal is not going to make us rich but rather open the doors to better opportunities and the experience is priceless. So with that in mind, I am not looking to be greedy but also need to be compensated accordingly. 

All suggestions from past experiences would be helpful, thank you!