LCC partnership structure

[Veronica Williams]

Hi, I am on my first flip, live in WA state found a partner in Ohaio, the rehab is in OH. I opened an partnership LLC, and I am learning now about taxation it will be treated as a dealer and not as an investment. I have a W-2 job primary and my business partner has another business. If we flip it under 12 months, any strategy to be considered as an investor LLC ? Do we 1st do tax on the LLC and whatever we split 50 & 50 then each claims on their taxes ? thx

[Basit Siddiqi]

If this is your first flip with this person, put your attention on having everything operate properly.

I have seen so many poeple worry about the profits that will appear but they let everything slip.

Furthermore, why are you looking to partner?
If he is a contractor, why not buy the house personally and pay him a fee for his services.
If hes a realtor, why not just pay him a commission to buy the house.

Best of luck