Perhaps if your partner was a general contractor or handyman type there may be some merit there to reduce costs / increase profitability.If your partner enjoys deal sourcing, a better move might be for him to become an agent - so he could legally collect commissions from finding deals and managing properties for multiple people. 

.: Some of you have reached out to me to see if we can connect on zoom or other means to pursue legal options.

Well anyone can write anything into a contract, but whether it is legal and enforceable is for the courts to decide...It is State law here that a contractor must call 811 or they are liable for the costs.

Owner ended up settling with the tenant, but then we had to threaten to sue our own client to get them to pay our legal fees.- Owner must sign a Hold Harmless to indemnify us against any potential tenant lawsuits relating to the work their contractor is doing.--- Another lawsuit resulted from owner's contractor taking down basement handrail to get supplies down the steps, then they didn't put it back and tenant fell down the stairs.- We also negotiate a reasonable completion date, depending on the Scope Of Work (SOW). --- Who gets all the phone calls and wastes time calming a tenant down because the owner's contractor doesn't show up as scheduled after they took time off from work or a 3 day job takes 3 weeks?

I did serve a 5 day when they were late for rent and can legally nullify the lease and do a 14-day notice in Wisconsin and escalate for an eviction if it happens again. 

Additionally, tenant issues and legal complexities around eviction can make management more difficult.

Yes, I have general expenses that are not attributable to a single property, like legal and accounting and home offices like you mentioned.

In case someone has been successful please share the methodology that is legally approved.thanks,Ananth

If you need financial help, ask under the "Finance, Tax, and Legal" forum.

I think there is value in ADU as long as it is legally done and can be legally rented.On the sale side a benefit can always be an in law suite.