All Forum Posts by: Kyle Barton

Thank you @Paul Moore and @Ian Plocky

When doing a cash out refi on a property where the cash out amount is more than the amount originally invested, how do you split the cash out amount between the investor(s) and GP? Would the investors get the full cash out amount, do they get the full amount up to their amount invested and then split the funds above and beyond that, or split the full amount based on ownership percentages? The entity docs leaves it to our discretion, just wondering what the norm is in the industry. 

In the past we have given our private lenders a 1099-Misc to report their earnings with us for the year. I have a lender wanting to offset his earnings with us with some losses in other investments he made.

Is there another way we can or should be reporting his earnings with us so he can offset his capital gains with his other capital losses? 

My understanding is that he can't offset the two with using the 1099-Misc. Any advice or suggestions would be appreciated.