Partnership Flip Split
Alright I have a friend who is easily able to find get a mortgage on a property we are wanting to flip. I only have around 10k to put into the deal so I was going to let him get the mortgage (down payment and repairs). I was orginally going to do all the work getting contractors, getting them to sign contracts, forming the work schedule, and SOWs and doing the daily management (basically just going by once a day to check progress). I also pushed him to keep contacting the realtor who had the deal, went to inspect the house when the deal got down to where I felt it was at a good price, and pushed him to go for the deal (I don't think he ever would have called the realtor if I hadn't pushed him to do so.) Turns out I'm having to do a lot of the research to help him determine what loans he can get. All of this I fear he places no value to as he's never done it, that said it will be both of our first flips. He was solely going to fund. I need some options for what would be the best way to split. I originally said we would do 50/50 but he does not see that as fair, as he just sees me as a person that calls a contractor in to do the work and that's all their is to it.
Is there some way that we can do a sliding scale where it starts at the point we think is a reasonable finish time (maybe 3 months) around 50/50 split and then the longer it takes it goes more toward his favor (maybe moves to 45/65 at six months)? I first toyed with giving him a 10%apr paid at the end of the sale, and I would pay the mortgage each month as well. It accomplished what I was aiming to do with the sliding scale but it goes badly out of my favor way too fast (in an unrealistically fast timeframe, i.e. at 3 months its already at and equivalent 30/70 split when its likely that 3 months is a realistic timeframe to rehab and get it sold.) I appreciate everyone's response and hope someone has had a similar experience I can build off of.