All Forum Posts by: Dan Henderson

Vern, 

Thanks for the links to the meet ups. It is definitely appreciated.  

Robert, 

Thanks for the kind words. We truly appreciate your business! My next step was to start attending the local meeting (as the podcasts recommend nearly every week) it is good to know where they are at. Will definitely check it out, let me know if you want to get together sometime to talk shop. 

Marshall, You are correct. Dan Jr from Uncle Dans BBQ. This would be my first house flipping business venture so I thought I’d give him some incentive to partner with me more than the accepted distribution. I’d love to get together sometime and talk with you and your cousin. Plus a Big O always hits the spot. Let me know when you’d want to get together.

Manolo, 

Thank you for the reply, it is very much appreciated 

Jeremy, 

Thanks for the advice sir. I will definitely seek out an attorney, and educate myself on operating agreements. Much appreciated. 

I live in the Waco, TX area, and am looking to flip homes here locally in the McLennan County area. I currently run two businesses here in town, and time is my perishable commodity. Flipping doesn't sound like a great idea if I've got to do it all myself. 

Enter a high school friend who has opened his own construction business. I have enlisted him to be my project manager/work some of the project himself. 

Our Agreement is verbal in nature only.  I will provide 100% of the financing (most likely through leveraging a bank loan), handle acquisition and analysis of target property, and sale of the property.  While his end would be to oversee the rehab of the project, make sure we stay on budget, finish within time frame allotted,and help to mitigate cost with his expertise. However, he would not be financially tied to the property. My partner and I will split any profit 50-50. 

My question(s) for the forum is, How do I make it to where he is obligated to finish the job? Is there some sort of a contract I can ask him to sign? Would adding his name to the ownership of the property when acquired work? What avenue would you pursue in my situation to not over-leverage myself in regards to the partnership?

Other Pertinent Information We do not have any properties in play. None of my money is currently at risk. My back up plan would be if he bailed on the project to rehab, refinance, and it and turn it into a buy and hold property

Thanks for your time, and any feedback is welcomed and appreciated.