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Bruno C.
Pro Member
  • Rental Property Investor
  • Providence, RI
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120
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How to structure this LLC

Bruno C.
Pro Member
  • Rental Property Investor
  • Providence, RI
Posted Jan 11 2017, 16:41

Hi BP, Looking for some help here. 

Considering doing my first deal. There's 2 partners not including myself. Here's the basic facts, and I'm more than happy to get more transparent if need be. 

-I found the deal, off-market. MF, looking to BRRRR and potential sell after 1 year (when capital gains drop) or hold long-term for cash flow.

-We are all fronting the money, equally as of right now for the down payment. The commercial lender's relationship is that of the 2 partners. We will share responsibility for qualifying for financing. 

-I will manage the rehab with the GC, and I'm responsible for the successful performance of the property financially. 

-We all have a close relationship - I have known the partners for 15+ years. 

Based on this information, what would be a realistic, and fair, split in terms of ownership for a LLC in this situation? This is my first LLC, and want to cover all of our bases.

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