So I am in a unique situation:
I have an opportunity to partner with a former employer who has access to a lot of capital.
He himself has his brokers license and owns a handful of multi family properties already. He runs a successful business in construction and telecommunications. Obviously he has an interest in real estate, but does not have the time to focus or grow his real estate portfolio.
I just got my real estate agents license and have had discussions with him about letting me start/grow the real estate business.
My goal is to do fix and flips as well as single, multi family and short term rentals. I would manage it all. Find the deals. Hire the contractors. Manage the work. Rent the properties. All he needs to do is front the capital and we split the profits.
My question to everyone here is: Is there a standard split for this kind of deal/relationship/partnership?
50/50? 60/40? 80/20?
Should I be getting more of the profits because I am doing all the work? Should he get more because he has the capital to make it happen? Should it be even? Is there a standard?
Any negotiating advice/experience anyone can provide would be great!
Thanks in advance!
