All Forum Posts by: Karl Warner

Hi guys,

I'm brand new to this. Short story. I bought a lot and want to build a starter home on it. My brother (own a construction company) will build for me and be my partner. He will get pay of his labor at premium but he needs to take out loan out to get equipment and materials (at 0%APR through State deal). I put cash up front for the lot so I am the only person that put the investment in it really. They say I should come out with 15% profit when I sell.

My question is how much of that 15% is a fair split to him? I like him to have some profit sharing because we want to do this together. But he will get pay his labor and his loan for equipment and material is his responsibility. What is fair? I'm thinking like at least 80-90% because I put up all the investment. He got paid but he took the loan which is part of his business. 

I really appreciate all the opinions!