All Forum Posts by: Jeff Caravalho

Hello BP, I've tried this post on another forum; no response, maybe I was in the wrong forum:  

My dad & I are considering entering a joint venture with a good friend of mine who is an GC.  We would like to flip to earn capital for future buy and holds.  We plan to use an investor agent (screening now) for buying & selling, at least initially.   My questions are: 

1. Should we form an LLC or just do a joint venture since this is our first flip. If LLC, can we do it in another state since CA is so expensive.

2. Should we split the profit 3 ways or should my dad & I get a higher percentage since we are putting up HELOC money (dad 120k, me 80k). Also, I plan on spending 15-25 hours a week on the flip myself (I'm pretty handy).

3. Should we just pay my contractor friend his rate and go 50/50 with my dad? We've all heard the saying," A partnership is the hardest ship to sail",  & I don't want to go down in high seas with my dad & a good buddy. 

Thx for your input BP!  Kicking myself for not finding you earlier.

My dad & I are considering entering a joint venture with a good friend of mine who is an experienced contractor. We would like to flip to earn capital for future buy and holds. My questions are: 1. Should we form some type of entitiy (LLC) or just do a joint venture since this is our first flip. 2. What percentages should we use: 33.3% each? Should my dad & I get a higher percentage since we are putting up HELOC money. I plan on spending 15-25 hours a week on the flip myself (I've designed & built a house for my parents & maintain my parents rental (their old house), so I'm pretty handy). Should we just pay my contractor friend his rate and go 50/50 with my dad? I've heard the saying " A partnership is the hardest ship to sail & I don't want to go down in high seas with my dad & a good buddy. Thx for your input.

My father & I are considering entering a partnership with a good friend of mine who is an experienced contractor. We would like to flip to earn capital for future buy and holds. My questions are: 1. Should we form some type of entitiy (LLC) or just do a joint venture since this is our first flip. 2. What percentages should we use: 33.3% each? Should my dad & I get a higher percentage since we are putting up the money. I plan on spending 15-25 hours a week on the flip myself (I've designed & built a house for my parents & maintain my parents rental (their old house), so I'm pretty handy). Should we just pay my contractor friend his rate and go 50/50 with my dad? I've heard the saying " A partnership is the hardest ship to sail & I don't want to go down in high seas with my dad & a good buddy. Thx for your input.

My father & I are considering entering a partnership with a good friend of mine who is an experienced contractor. We would like to flip to earn capital for future buy and holds. My questions are: 1. Should we form some type of entitiy (LLC) or just do a joint venture since this is our first flip. 2. What percentages should we use: 33.3% each? Should my dad & I get a higher percentage since we are putting up the money. Should we just pay my contractor friend his rate and go 50/50 with my dad? One more thing, I plan on spending 15-25 hours a week on the flip myself (I've designed & built a house for my parents & maintain my parents rental (their old house), so I'm pretty handy). I've heard the saying " A partnership is the hardest ship to sail & I don't want to go down in high seas with my dad & a good buddy. Thx for your input.

Hey guys, couldn't make it tonight, unfortunately.  Hope to see you next time.

Joe,

Just wanted to say thanks for referral to Kyle.  He did give me a little reality check.  Planning to meet soon.  Thanks.

Great stuff!  I love it!

Thank you Robert, invaluable information :)

Derek, single family possibly duplex on or off MLS, numbers need to work. I'm thinking something beat up that can't get conventional financing, needs hvac, etc. Joe , yep I'm feelin the heat, correct me if I'm wrong, it already doesn't look like cosmetic fixers pencil out. So, I'd like to use some sweat equity (while I still can), and a HELOC to get something that can. Thx

Planning on being there.  Looking forward to meeting you all.