Percentage in exchange for labor

[Austin Nelson]

Hello, I'm in the process of buying my first flip. I work for a property management company so contractors are easy to come by. One of my employees does very good work and I want to approach him about doing the labor for a percentage of the sale. Has anyone done this before? Obviously the percentage would be determined by multiple factors. My reasoning behind this instead of the traditional way is that I wouldn't have to front a lot of capital throughout the project.

Any insight would be helpful.