I had not encountered this idea previously.  

The only time delay I've encountered is just getting money moved around.  

But I'm just as new to many other things that I've not encountered, which is why I used the term "mid-versed" and am open to continue learning from those that have been where I have yet to venture.My goal is to continue adding to my portfolio for buy-hold properties that will yield income for my retirement.

Those already in the business (agents, landlords, lenders, wholesalers, bk trustees, estate or divorce attorneys) are the ones encountering these notes.

I am sure down the line, I will encounter surprises.

My goal is to eventually have $1 million in passive income per year.What are your thoughts on this strategy and what set backs do you see my encountering along the way?

It is one of the few that I've encountered that let's you model various partnership scenarios and allows you to understand syndicator vs. passive investor returns.  

As the title states, what is the worst encounter you've had with a wholesaler?

I don't, but in Southern California, they can be found in lower-middle to lower socioeconomic areas on telephone poles and often at freeway off-ramps  My favorite iteration is when one company puts their sticker with a number on someone else's bandit sign :)

Our deal was to be 50/50 ownership and cash flow split, but the banks I have talked with have all indicated any owner with more than 20% would need to sign/guarantee the loan, which is not something most investor partners want to do (including this one) and signing on the loan is part of what I offer for my share of ownership and not putting up all the cash.Looking for your thoughts, if you have encountered this and how you may have solved the issue with your partner.