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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: POLL: What are current partnership profit splits? Posted by Paul Herold on January 26, 2010 at 11:31 AM In Reply to: Re: POLL: What are current partnership profit splits? posted by Realio on December 01, 2009 at 9:39 PM : : : Curious to hear from those of you purchasing at trustee's sales in LA and Orange County what current partnership profit splits are. With the flood of competitors at the auctions, are you still seeing 50/50 splits even when one investor (passive) is investing several million dollars? Or could that investor command a split as high as 65/35 and well beyond? : : Hey Realio, a little FYI from someone who is actively engaged in the San Diego market. One can have all the money in the world yet possess little knowledge on how to successfully target and acquire profitable deals at the courthouse steps. I get a kick out of some of the arrogance of those with cash but have no clue on how to go get deals. To me, 50/50 is a reasonable expectation for both the passive investor as well as the managing partner who puts in 12 hour days more often than not and pulls the trigger on acquiring, managing and selling the assets. JMHO : JDM, a very astute assessment, but then again as a manager I guess I am biased. So I take it you would not work for less than 50/50? Thanks for the comment. BTW, have you seen the San Diego market become significantly more competitive, with more and more new players? We certainly have in LA and OC. It seems as though now there are four times as many buyers as there were this time last year. Thanks for all your input. I have been partnered up for about 8 years now as the workhorse, contractor and real estate broker of the operation. I am very satisfied with our 50/50 profit split and always have been. The only issue I have is the money is borrowed from various sources and the investor also charges interest paid as expense and we both share the cost 50/50. I am fine with that and always have been. Now that profits are good we are rolling profits back into the business and interest is still being charged as before. Any opinions on this? thanks? Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : : : Curious to hear from those of you purchasing at trustee's sales in LA and Orange County what current partnership profit splits are. With the flood of competitors at the auctions, are you still seeing 50/50 splits even when one investor (passive) is investing several million dollars? Or could that investor command a split as high as 65/35 and well beyond? : : : Hey Realio, a little FYI from someone who is actively engaged in the San Diego market. One can have all the money in the world yet possess little knowledge on how to successfully target and acquire profitable deals at the courthouse steps. I get a kick out of some of the arrogance of those with cash but have no clue on how to go get deals. To me, 50/50 is a reasonable expectation for both the passive investor as well as the managing partner who puts in 12 hour days more often than not and pulls the trigger on acquiring, managing and selling the assets. JMHO : : JDM, a very astute assessment, but then again as a manager I guess I am biased. So I take it you would not work for less than 50/50? Thanks for the comment. BTW, have you seen the San Diego market become significantly more competitive, with more and more new players? We certainly have in LA and OC. It seems as though now there are four times as many buyers as there were this time last year. : Thanks for all your input. I have been partnered up for about 8 years now as the workhorse, contractor and real estate broker of the operation. I am very satisfied with our 50/50 profit split and always have been. The only issue I have is the money is borrowed from various sources and the investor also charges interest paid as expense and we both share the cost 50/50. I am fine with that and always have been. Now that profits are good we are rolling profits back into the business and interest is still being charged as before. Any opinions on this? thanks? [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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