This is a unique, yet functional idea I have not seen yet and I want to hear your thoughts.

I was hoping the fact that he can make money from the job itself as he normally would and the equity afterwards would attract him into partnership with me.  

Arkansas Code § 17-42-104(a)(1), concerning exemptions, is 20 amended to read as follows: 21(a) This chapter does not apply to: 22(1) A person not licensed under this chapter who performs any of 23 the acts described in § 17-42-103(10) with regard to the property owned, 24 leased, or purchased by him or her; as: 25(A) An owner of an individual freehold or leasehold 26 interest in real estate; 27(B) In the case of a corporation, limited liability 28 company, limited partnership or other entity recognized by law holding a 29 freehold or leasehold interest in the real estate under subdivision (a)(1)(A) 30 of this section, a member, manager, partner or officer, who has authority to 31 and does make management decisions affecting the overall policy of the entity 32 regarding real estate activities involving only the interest of the owner; 33(C) An individual attempting to acquire for his or her 34 personal use a freehold or leasehold interest in real estate; or 35(D) In the case of a corporation, limited liability 36HB11632 01-12-2017 09:53:17 SRC062company, limited partnership or other entity recognized by law, intending to 1 acquire a freehold or leasehold interest in real estate under subdivision 2 (a)(1)(C) of this section, a member, manager, partner or officer, who has 3 authority to and does make management decisions affecting the overall policy 4 of the entity; 56SECTION 2.

In the case of a corporation or partnership, this exclusion does not extend to more than five of the partnership’s partners or the corporation’s officers, nor to the other employes of the partnership or corporation.

I m new to REI, and I was wondering about partnerships.

What's the best structure for such a partnership: liability, taxes, avoiding commingling with other deals, expense tracking, etc.

Just be sure you are not overly casual or unclear about who you work with and how the relationship functions.

Also, with Podio, you have to purchase the premium tier on a monthly or annual subscription for the workflows to function.

@Vickiel WoodardFirst, congratulations on taking some VERY positive steps under difficult personal situation.I would guess from your post that you have some expenses to incur for repair, rehab and carrying costs, before you begin receiving income.If your intent is to hold as rentals for good cash flow, a fix n flip type lender (where most SFR investor lending is available), will probably not be interested unless they believe you plan to sell after rehab.As you stated, you won't qualify for a conventional or institutional loan, not only because of credit but also because of loan size.The suggestions made by posters so far are some version of(1) sell as is one, two, or all(2) sell one and use proceeds to fix up other twoNot bad advice, depending on your goals.These lower end houses will sell for a VERY low price in relation to their rental income because (1) tenant types will most likely be a problem or at least be high maintenance, i.e. chasing them for rent, high turnover, life crisis, employment problems, etc, and (2) unless area undergoes gentrification price increases will be non existent (3) effective outside property management is probably not available.So, if you are able and willing to manage the property and tenants yourself, keeping the properties as cash flow rentals can be a VERY lucrative activity.I would find an experienced contractor, and talk him into either (1) partnering with you by providing his services as a contribution for buying an equity interest in the houses or (2) accepting a lien on the properties in lieu of immediate cash payment to perform the necessary rehab and either making monthly payments to him to pay off the lien once the units are rented or paying him off by refinancing once the properties are rehabbed and income is established, though as mentioned a loan would be somewhat difficult to accomplish.An alternative is to attend your local REIA meeting, and discuss a partnership with some of the more passive investors.BTW, are you paying typical credit card interest rates of 12-24%, or did you get an introductory deal giving you a low or no interest loan for 6 -12 months?  

I gave it some thought over the weekend, and being that I have a functional knowledge of and experience with Sub2 deals, the marketing already in place, and the team needed to close these type deals, I decided that a full year of coaching just to go over these topics again, was not the highest and best use of my time.