Is investing in a partnership preferrable? What are some things to look out for?

[Andrew Fudge]

Hello BP Community!

I recently got to come to an agreement with a friend to create a partnership to allow us to more easily invest. I wanted to reach out and ask if a partnership has any unforeseen problems that could arise? My partner and I have very good communication and are on the same page when it comes to investing strategies, so we both assume this is a great path to follow. Will a partnership cause variations in the route we would take to finance a property? As in, would a bank treat us differently as a partnership rather than just a singular person? Also in terms of financing, if one party is funding more than another, is there a way to dictate that when closing a deal? I just had these questions running my mind while trying to formulate a good partnership agreement for us, and wanted to try at least hearing from others before I finished!

To follow that up, when going through the process of our first deal, would it be smarter to open a new line of credit or checking between the two of us? I know this sounds like a ridiculously "google-able" question, however I'm asking here because google doesn't have the human touch to it's answers! What does including extra investors add to the workload? Is it smarter to onboard whatever investors you have prior to acquiring the property or is it safe to still gather investors in to the first few months of owning a property?

Last question, I promise! Are there any recommended softwares or websites for virtually tracking investments, income/expenses, etc. It's completely fine if those aren't recommended as well, I just need a quick way to for my partner and I to have access to the property data without crunching tons of numbers.

Thank you for your time and help,

Andrew

[Conner Olsen]

Quote from @Andrew Fudge:

Hello BP Community!

I recently got to come to an agreement with a friend to create a partnership to allow us to more easily invest. I wanted to reach out and ask if a partnership has any unforeseen problems that could arise? My partner and I have very good communication and are on the same page when it comes to investing strategies, so we both assume this is a great path to follow. Will a partnership cause variations in the route we would take to finance a property? As in, would a bank treat us differently as a partnership rather than just a singular person? Also in terms of financing, if one party is funding more than another, is there a way to dictate that when closing a deal? I just had these questions running my mind while trying to formulate a good partnership agreement for us, and wanted to try at least hearing from others before I finished!

To follow that up, when going through the process of our first deal, would it be smarter to open a new line of credit or checking between the two of us? I know this sounds like a ridiculously "google-able" question, however I'm asking here because google doesn't have the human touch to it's answers! What does including extra investors add to the workload? Is it smarter to onboard whatever investors you have prior to acquiring the property or is it safe to still gather investors in to the first few months of owning a property?

Last question, I promise! Are there any recommended softwares or websites for virtually tracking investments, income/expenses, etc. It's completely fine if those aren't recommended as well, I just need a quick way to for my partner and I to have access to the property data without crunching tons of numbers.

Thank you for your time and help,

Andrew

 I don't know about the lending side. I suggest opening a business bank account and tracking all transactions through there, until things get complicated and then branching out to a software.