All Forum Posts by: Kristen Nguyen

My business partner and I are trying to decide how to split up the partnership in terms of percentage. He'll be financing most of the deal while I'll be sourcing and managing the project. How should we go about determining the right split? 

An example structure I was thinking: For a MFH property hold of 3-5 years, I source/manage the deal, I bring in 10% down and get 40% of the net income and equity. He brings the remainder of the financing and gets 60%. It'll be my responsibility to work on improving the property's cap rate. Upon our exit strategy, we'll look at the property's performance and create a sliding scale. For example, I get a higher return if the property has higher returns and a higher cap rate when we sell. Not sure how to structure that percentage yet.

Let me know what creative structuring you guys have done! Thanks.

I'm starting the discussions on creating multiple partnerships with different partners on different deals, and in different states. Before we set up an LLC as partners, what kind of homework should I be doing? I'm not really sure where to start or what questions to ask to make sure I'm covering myself and to make sure we're making the best decisions as business partners, like if we're setting up the right entity to begin with.

What has your experience been? Any big learnings? Anything you would've done differently? Appreciate any insight!

Great, thanks!! Will check them out!

Thanks! Do you have a specific lender you've worked with?

Does anyone have a great recommendation of a local bank or a credit union that will do a cash-out refinance of an investment property? Property is in Doraville. Please let me know! Thanks in advance.