Joint Ventures with self directed IRA

[Eric E.]

So I had a national guru suggest this:

Find the deal, put up $100 from my self-directed IRA to fund it.

JV with another investor who puts up the balance of the cash.

This would be a long term (1 year plus) hold.   

Split the profits with the other "partner" 50/50.       

So my IRA puts up a fraction of the cost, the other party puts up the majority.

But all profits are split 50/50.     (equity split)

   Does this violate any of the IRS "rules" on self directed IRAs?