Should I form a partnership with a contractor

[Garrett Wilson]

I'll start off by saying that I'm new here so please forgive me if I don't completely get all the lingo correct. I'm currently wrapping up the fix up on my second long term hold rental property. The GC that I hired approached me and said that he was itching to get into the flipping business. I am interested in doing a flip, and I will say that I'm a numbers guy. I know my way around a few things, but I'm no where near a GC by any means. I would be funding the entirety of the deal (This is a personal preference for me). My initial thought was that it could be a good partnership with me finding, analysing, and funding the deal, and him doing the repairs. My concern is that neither of us has ever done a flip before. I'm fairly conservative when it comes to stuff like this so I'm planning on getting some sort of partnership agreement written up and looked over by a lawyer. I have a few questions in mind.

1. What is a reasonable percentage split? I feel like I'm assuming every bit of the risk, but I don't want to offend him when I say something like 65-35 or 60-40.

2. Should I scrap the idea completely and try to partner up with a GC that has actually done flips before? My slight problem with this is that this guy has been reliable, and it's been my experience that is hard to find in a GC.

3. Is there any advice in general I should look out for while putting together this partnership.

FYI: My second long term hold property fix consisted of: new vinyl floors; new carpets; new roof; new backsplash; new vanities; new appliances; paint walls, trim, ceiling, and cabinets; pressure wash; mulch. I say this because I feel like it's a very light version of a flip, and I did learn a ton through this process.

Sorry for being long winded in my description. I appreciate your advice.