Private Money & Escrow

[Brandt Baize]

I have a friend that wants to invest with me (using a private money contract).  He wants to give me the money now but I don’t want to take it into my personal account. 

Do I set up an escrow account, another bank account, or just ask for him to deposit into escrow when I get a property under contract? 

Also how do I provide proof of funds? 

This is my first property using private (friends) money and I want to do it correct and transparent. 

Thank You for all the help.