raising capital and structuring deals for rentals

[Michael Sherwood]

Hi all,
I had some questions pertaining to raising capital. I've seen some good posts on the forums but I am looking for some more specific information.

I have been working in real estate for 6 years now and I mostly concentrate on MF 3/4 units.

Currently we have exhausted our acquisition capital (we still have Working capital) but we want to continue to expand our business.

We are considering setting up a LLP. and basically get additional acquisition capital this way from outside investors( these will mostly be friends and family of myself and my partner) We plan to put at least 10% of our own companies capital into the deals and will mange the general partnership ( as well as managing the properties and tenants)

I have seen it where some people will pay a fixed rate of return but I do not think this is possible on MF 3/4 units maybe if you were talking about larger apartment complexes.

So mostly what I am looking for is how to set all of this up and structure it. I am thinking at this time we will 'payout' to the the investors(including us) based on the percentage ownership.

What kind of experiences have you guys had with this?

thanks much,

Michael Sherwood