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All Forum Posts by: Mario Sanchez

Mario Sanchez has started 1 posts and replied 3 times.

Post: Partnership percentage question

Mario SanchezPosted
  • Posts 3
  • Votes 0
Quote from @Joe Villeneuve:

Can you explain how the 50-50 partnership works with 20% profit?

 Thank you Joe. 50-50 partnership, but at the end of project he will take 70% and I get 30%. Because he wants to check the site everyday.

Post: Partnership percentage question

Mario SanchezPosted
  • Posts 3
  • Votes 0

Thank you so much for all replies. This is truly a great forum and I am hoping to learn a lot from everyone here. We are totally new to all this so please pardon me if my questions are very basic at this time.

We have out an offer on a land to build, in both our names, we are forming an LLC and now in the process of writing the agreement between us, meeting with an attorney tomorrow morning to finalize the contract. We are each paying for half of everything, no loans. This is where he says he wants to make sure everything is done according to plan. We are hiring contractors and everything is delegated, I offered that I can also go to job site after my 9-5 job to check and make sure that things are running smooth, but if I am only checking I don't feel I need to get paid extra for just checking. If he picked up the tools and started working then he can expect to get compensated.
This is our first project and I’d like to start doing some flips beside this, and I say the same thing to him for the future projects. If he works in the project he can get compensated but if he observes then there is none. 
I just wanted to make sure what the standard is in the industry, and that I am not being unreasonable.

Post: Partnership percentage question

Mario SanchezPosted
  • Posts 3
  • Votes 0

Hello bigger pocket community,

I am new to this site and I am hoping I can get some clarification on a question

I am partnering some another person 50-50 to build a house. We will be hiring contractors to do all the work. My partner wants to go to site every day to check and see if the workers do their job. 
my question is that, Is it necessary to do as we have a contractor that is supposed to be in charge of the project. And also should he get paid for this. He is expecting 20% of profit, but I don’t agree since in reality he is not doing anything. There is no real sweat equity. He is just watching these guys work and cannot have them do anything except what the contractor asks them to do. Am I wrong? 
thank you in advance for your help.