Seeking Advice: Using a Cosigner for Fix & Flip

[David Sotomayor]

Im getting into fix and flip real estate and working with a private lender who requires a higher credit score than mine to qualify. I have a cosigner willing to help, but Im unsure whether they must be in my LLC or can just be a guarantor, has anyone dealt with this before?

If the cosigner is not contributing funds but is just helping secure the loan, whats a fair way to compensate them? Should it be a percentage of net profits, a fixed fee, or another structure? Also, would this loan help build my personal credit, or would it only report to business credit bureaus under my LLC? I'd love to hear from anyone who has done this before, how did you structure it, and what worked best for both parties? Thanks in advance!