I recently bought a fourplex in Anchorage Alaska and have done well enough with the rehab and managing that my parents are now interested in investing in Alaska as well. They are interested in getting something like a smaller commercial property between 6-8 units and putting up the money for the down payment. I have stated that i can help with finding the property, management, maintenance, some rehabs etc. what we are having trouble is pinning down exactly how to word our LLC agreement so that we are all on the same page and no one gets thier feelings hurt. My parents are suggesting something like having shares such that if they put up 95k for a property and i put up 5k then they would have 95% of the votes receive 95% of the cash flow after all bills (and me being paid out 8-10% for property mgnt etc) and i would get 5% with the opportunity for me to reinvest in the property to sort of “buy” shares from my parents to where I could gradually earn more of the cashflow, principal reductions etc. I am working towards the goal of a lifestyle of all passive income or property management type work and i am just wondering if I should be asking for more or if there is any better ways people have come up to structure deals with their families or from other people providing financial backing in this industry.

Nicholas. 

That works and you can issue shares. 

Or you can create an LLC for the specific project. Then you can sign a JV agreement and in that agreement it states who is putting up what money and the % of the profits they receive for that investment.