My partner and I just finished our first rehab project and I've been getting generalized invoices.

Go to a local REIA meeting and network with investors and see if you can partner up with someone.

There needs to be an "Occurrence" that the policy needs to respond to.No policy covers wear and tear.Example - If a strong wind storm damages the roof, and water starts leaking into the building from that damage, the damaged roof and water damage would be covered. 

How would one partner with a builder if I do not have the cash?

Whenever you need help getting started, don't hesitate to reach out, I have a strong connection with a hard money lender, and I personally sell investment properties in need of rehab.

The LLC comprises of multiple partners of equal stake.

I'm planning to keep going from there, I have a background in software development so I feel I am strong in analysis and so far I am enjoying the experience of researching investment properties, etc.

If not, then move to step 2.Step 2: You are in all certainty going to need a partner as you are going to need at least 25% down for a small multi.  

My partner has children, and she can't leave Santa Barbara until they turn 18.

I also think you need to do a LOT of background research on any potential Turnkey partners.