Questions About Shares For New Investment Group
I have initiated talks with two other partners about establishing a Real Estate Investment Group in the New York City area. The three of us would constitute the principals for the entity we eventually establish. There are three other individuals who are to be tapped for funds as silent investors. There will be a total of 600K in cash to pursue foreclosure and pre-foreclosure deals.
I will be the deal maker and day to day manager but minority monetary contributor. The other two principals will contribute 100K each while supporting any repairs/renovations a property may need. The three silent partners will simply reap a return on their 400K contribution. The goal for the group's first deal would be to wholesale to establish a track record.
Question (1)
What would be the appropriate entity for this venture?
Question (2)
What would be the appropriate distribution of ownership and/or shares in the entity?
Question (3)
Should the group consider something other than wholesaling?
Thank you for your input.
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