How to setup an agreement for a flip profit
I’m in the process to purchase my first flip house and I want to ask for guidance on how to setup a business or required agreements that are needed for distributed profits.
I am the investor for the property, then I have an agent (flip hunter) and a contractor. We decided to distribute profits as 70% for me, and 15% each for the agent and the contractor.
- Do I need to setup an single member LLC? Or multiple ? Given then are not going to contribute any cash in the flip but work & commitment to make profit.
- is there any agreements I can tweak based on this model which distribute profits. Any samples?
- do I need a JV doc or agreement per a flip? Since I'm leaning to setup one LLC for all flip houses and manage agreements per a flip.
Looking forward to your replies.