How to structure a Spec Building partnership.

[Robert Gravel]

Hi All, I am a contractor doing business for over 30 years. Was in a partnership with my father since the early 80's in New York Suburbs. Back when we started and land was cheap we built a few spec houses and did ok. I also did a few flips back 10-15 years ago. Most were complete rehab/ expansions. Most of my work over the years have been mainly extensions/expansions/renovations for homeowners. 

I have recently moved to the Carolinas and want to focus some time on spec building. I have spent months studying the market and talking with local professionals. I see a good opportunity to infill lots and small 3-4 home subdivisions that the big builders have no need for.  I have some money to be able to build 1 house at a time but would struggle to get any small subdivision built and tying up all my money would limit me in land acquisition. For example I just bought a 15 acre lot.

I have a few people I know who want to invest in real estate. How do other builders structure "partnerships" with investors?  

Do they work on a profit split or a percentage return? if so what is typical?

What stake does the builder usually contribute to each project?

How is title to the property arranged? 

How are payments arranged? similar to what a finance company would do on a construction loan? 

Also I am a very hands on contractor and have found it very profitable and enjoyable to maintain my own crew for some phases of the building process. Groundwork and framing can set the pace of the entire job. How would that figure into the equation vs a builder who subcontracts every single item required during the building process?

Thanks In advance, Robert