Updated over 7 years ago on . Most recent reply
How to split my profit with my partner
Hello everyone. I'm currently in a sticky tricky kind of situation. I purchased a property in a profitable neighborhood to build from ground up then sell. My credit score at that time was pretty decent but the bank still needed another cosigner. Life got worse (along with my credit score) when my father passed away and funeral expenses presented itself in an unwanted type of way.
Someone at the bank advised me to create my LLC seeing that thats the field I'm passionate about and try to go from there. There is actually a lender who is willing to approve us but I must have a partner registered on my LLC in order to use their credit score to secure the loan. My question is how should I split the profit? They're saying 50-50 because I'm using their credit score to secure the loan but all the monies that were used to purchase the land and pay for drawings etc, was all me. How much should we split the profit? I'm thinking of 30% remains in the business 50% for me and 20% for them? Please advise me guys. Hope to get a response soon.