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Updated almost 8 years ago,
Partnering with a contractor on a flip
So I'm about to do my first flip. I have 2 other partners that will be part of the deal. However, a contractor friend of one of the other partners brought us the deal. Obviously he thinks he should be "in" on the flip's profit in addition to being the general contractor doing the work. I feel like this isn't the optimal set up for the deal and will avoid this in the future.. Being what it is, what do you guys think is the best way to structure the deal? My group of 3 partners are ponying up all the scratch for buying the house, construction costs and holding costs.
Thanks in advance for everyone's help!