Updated over 7 years ago on . Most recent reply
Raising funds/ Partners
I hope this is the write forum for this.
Who has experience raising funds for deals? I'm currently tied up in a fix and flip that I'm doing with a partner. However, there are several properties out there I would love to move on. I figure, why not find another partner who could come in with the cash. They become the equity partner, I manage the flip, and we split the profit. I've already done this with a company, but would love to find an individual and have no money down of my own (since it is tied up in other projects at this time.)
I am actually doing this with my current deal, but reversed: I'm funding the entire deal while my partner is managing the rehab itself. We will then split the profits afterwards.
In your experience, how would you go about asking for partners? Is that something you can legally put on the the forums, or would that run afoul of the SEC (I know syndications have to be careful because of this, and I don't want to run into those legal troubles!)
Most Popular Reply
Hi Robert,
Depends on how much experience you have. If you have a few fix-and-flips under your belt, raising money should be an issue since you have a proven track record. To find private capital, I would start with your personal network. Mention that you have fix-and-flipped X deals in the past with an average return of X%. Say, "if I find another deal like this, would you be interested in investing?"