Although I see this person has now morphed into just being a real estate agent as i suspect he was letting way too much business slip through his hands just trying to be a wholesaler.. 

On the other hand, several states require a license to make business-purpose loans.

@Chris Seveney  Good mourning Chris thank you so much for this response. what are 3 really good books I can buy for Commericial Real Estate investing (I have the millionaire Real Estate investor by Gary Keller), I've also looked at some CRE courses and I noticed some of them are asking for a bunch of money which kind of sketches me out, and about the military I was firstly thinking of  buying a 4 unit property and live in one of them then buy another a couple then with that I can buy a bigger property that's the idea I had in my mind because my father kept on telling me how CRE is only for rich people and it's risky but that's what I want too do .

After explaining a couple of options he told me he would rather just partner up with me and be the money partner and I would be the operating partner.

I appreciate your first hand experience with them as there are so many scams out there.

Cost to wait is maybe save couple grand on zoning attorney but could potentially make that up by earning some rent earlier (vs. unused space). 

Couple of questions for you:1) Do you own 100% of both LLCs?

Are you marketing to families/groups or couples?

Do you have first-hand knowledge or experience with these businesses, or are you just looking to stir up trouble? 

I know a couple people that does this, let me know if you need me to connect you.