How to Structure a Silent Partnership?

[Howard Handler]

Hello, let's say I have a relative with available capital that is looking for ways to generate a little income, and I have much less available capital.  What would be some win-win ways I can structure deals in which he invests the down payment but I identify and manage the properties?  For background, he is in his early 70s and I am in my early 40s, so our timelines are not 100 percent aligned.  Thanks in advance.

[Rich Littlefield]

I would put the money in and own the properties in an LLC and or maybe an S corp. You would then make him a partner and you would be a general partner. This gives both of you a lot of protection.