But, his FICO used to acquire the LOC which pays expenses essential to complete the transaction is a significant contribution; equivalent in value to the consumed amount of the credit line.  

@Jeff ExlineThere're over 20 of tax accountants actively contributing to this forum.

My partners will contribute cash only to the deal.

I have found what works for me, but it took me well over a year to realize it.When I first started on BP, I was overly influenced by the notion of having a lot of "doors" and avoiding the dreaded "dead equity" in your properties.

Easier to reach the max contribution and better protection should an unforeseen liability arise in the business or life. 

I am looking to create a legitimate business, that would pay us a salary and also allow us to continue to make retirement contributions.

Once you agree on things like roles and financial contributions you definitely need to have an attorney draw up the documents to make sure you are all protected and any negative outcomes are contemplated in advance. 

It sounds like you're in a place where contributing capital is much easier than committing time.

There is the notion that more SFH and small multifamily owners will go into foreclosure and forbearance due to lack of experience, income and reserves.

But the current outlook is for more and more taxes to support more and more giveaways to people that are not contributing their "Fair Share" to support the economy.