Is there a way to do this while legally protecting myself from liability (i.e. having them sign a waiver)?

I note that you asked specifically about “cash-flows”, which has multiple components each treated differently for tax purposes.In general, you can start with NOI, next you have debt service and cap ex, which can get you to cash-flows.The interest portion of your debt service is tax deductible (possible subject to limitations) and the principal portion is not because you get basis in the asset for the loan principal, which generates a depreciation deduction.Similarly, cap ex is generally not deductible currently but the expenditure is capitalized and depreciated, similar to the initial basis in the asset.In summary, you have cash and non-cash tax items that cause your taxable income to differ from your cash-flows and taxable income * tax rate determines your tax liability.

He is assuming liability for you and your actions.

I mean - if we are not able to take down such a portfolio, we are limited to one of individual assets, which are seemingly far and few between.

@Micah CookInvestors are looking for limited liability.

Everything looks good financially, however I've not sure what I should look for or how to protect myself from, any possible outstanding taxes or other liabilities that might be hiding out there on the subject acquisition LLC.

I set my limit based on numbers and lose out on houses from time to time, but that's ok. 

The tax liability, assuming an investor is in the highest federal tax bracket, is calculated as .37 x $50,000 or $18,500, which is the equivalent of an 18.5% tax rate on the entire cash flow of $100,000.However, the depreciated portion of the property is subject to a recapture rate of 25% upon sale.

My question, due to limited cash we are only able to put 10% down on this property to close.

Every no brings you closer to a yes.With a limited track record you could get a partner on a deal, wholesale a deal until you have enough money to have a bigger deposit, or like @Peter Sanchez and @Alexander Felice mentioned house hacking.Real estate is amazing because you have unlimited options and have to develop the mindset that you are a real estate transactor.Let me know if you need help with anything and I would be happy to help!