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Updated over 6 years ago on . Most recent reply

User Stats

42
Posts
6
Votes
Mike S.
  • Cambridge, MA
6
Votes |
42
Posts

Flip Partnership Profit Split?

Mike S.
  • Cambridge, MA
Posted

Partner A has the experience and Partner B has the capital for carrying costs and down payment for obtaining the loan.  All loan closing costs and carrying costs cut into profit.  Partner A puts unlimited hours into orchestrating the flip (managing contractors, architects, engineers, budgets, even helping Partner B locate banks for lending, etc) while partner B sole acts as "lender/investor" of sorts. Curious what a common split on profit would be for this? Partner B takes the money risk, Partner A takes the time risk. 

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