Rate of return for investor

2 Replies

I’m in the business of flipping mobile homes but am now ready to grow my business by bringing investors on board. My question is how much (percentage wise) should I give my investor as a rate of return if he puts up 100% of the money to buy the home and rehab it, but does none of the work?

Every potential investor will have different criteria and returns they are seeking. You should determine what you are willing to offer someone and draw the line for your own criteria. Are you happy with 40%? 60%? Some passive investors will want a certain figure and others will want way too much. You'll have to find who can work with you.