is this possible, private lending

[John Sandcastle]

I'm wanting to fund a friend with RE deals and not quite sure how to go about it. If im using the term correctly, it would be a private lending situation but these would be for rehab and hold rentals. Now my idea is to provide money for the purchase and rehab but want to be "bought" out so I dont have to deal with the rental side of things. essentially i help him build his rental property portfolio while getting a good rate of return on my money. I trust he can find good properties and do the rehab, he currently has 4 properties now that he has rehabed and rented which are cash flow positive and Ive done a few flips with success but always self funded so not sure about the investing/lending side. Is this even possible/legal? What are the tax implications? Can he refi to get the money to buy me out?would be looking at about 15-20% return within about 3 months. does this make sense? What would be the best way to go about this? partnership, llc, etc? If llc would he then buy me out after refi so the property stays in the llc name?

Sorry for being long winded just have no idea about this side of things.