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Updated almost 3 years ago,
Developer Offered me partnership.. What % of Equity do I ask for?
Hey Guys -
Disclaimer - I'm a lic realtor, but I also act in a consultant capacity under an LLC on off-market commercial deals.
I have an active developer that is building hotels and multi-family... but would like to start banking land to flip. They asked for more of my attention and exclusivity - in exchange for a partnership/equity sharing. With that - I have to present them with some general terms i.e. what I want .... however, I have zero reference, I am used to getting paid commission or points, not a portion of the profit.
My question to you guys is - what should I ask for? It's going to be A LOT of up-front work doing the site selection and negotiations (especially in this market)... and will likely pull me away from other opportunities. Considering we get the entitlements and actually close... Should I ask for 5-10% of the profits? 15% A sliding scale?
Any feedback is welcome! Thanks, guys!
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Cassandra Hartford