How do I protect Myself

[Joel Renzenbrink]

I am a realtor/handyman. I have been approached by a client to flip several properties with his money and share in the profits. I will be paid as a contractor. I am unsure how to protect me legally to make sure that I get paid. Should I take a draw? Thanks in advance.

[Ned Carey]

Make sure you have a solid contract outlining your deal. You can put the property in your name, so he cant sell without you. You could also for an LLC for this one property and the operating agreement spells out that only you, or both of you, have the authority to sign closing documents.

I think I would want a draw as construction progresses, that is pretty standard industry practice.

I would also want to make sure he has enough funds to complete the project and perhaps put that money in a escrow account. Again it could be set up that you both have to sign for the money.

I am not an attorney, the above is not legal advice for your specific situation. It is simply an example of how I might handle a similar situation.