Private Investors and Securities

[Dave Rosenfield]

I am getting into the fix and flip market and I have family and friends who are interested in investing with me. Basically they will lend me the money to use for a property and get a 10% return on their investment. While doing some research and talking with a business lawyer, I found out that their might be possible securities issues by doing this. 

Question is: How do I get private investments from family and friends without having to worry about securities and the exchange commission (without starting an LLC or Corp)?

Also, does anyone have a sample investment agreement that covers this?

[Dmitriy Fomichenko]

@Dave Rosenfield 

I am not an attorney either, but based on what I know investing in a single note is not considered security. I've done it personally using my retirement account and many of my clients do this on regular basis (using their retirement funds to lend out either short term or long term note secured by deed of trust).