General Contractor looking to partner with investor
Hi, I own Raben Built, a renovation company that does all aspects of home renovations and additions.
I am looking to partner with an investor to flip or BRRR homes. I know the market is pretty tough out there right now, but if the right conditions are there then it is still possible.
I get this request time to time from different general contractors and project managers I've worked with over the years. Here's what I always ask them:
"You'd like a share of the profit from the flip, but are you prepared to share in a loss if the project goes sideways? For example, if we're 70/30 partners on the deal and we have a 10K loss are you willing to contribute $3,000 to our company?"
Being an investor and entrepreneur means you have your time and money invested in the business, and when things don't work out you take a loss. Most contractors want to get paid regardless of the outcome. If you're unwilling to take this risk then you're better off just getting paid for your time and letting the property owner worry about the end result.
That is why I said "partner". Whatever happens with the business deal it would be 50/50.
Sounds interesting. I have sent you a message. Hopefully we can talk more soon.