Private Money Partnering

Private Money Partnering Table of Contents
Find Out All You Need To Know About Private Money
Partnering And Joint Venture Real Estate Investing.

Finding Private Money Partners
How To Find Private Money Partners for Real Estate Venture Capital Using The Web And Other Resources

Testimonials About Private Money Partnering
Find Out What Investors Have To Say About The Information On The Private Money Partner Site.

Private Money Real Estate Venture Capital Glossary
Coming Soon. Terminology for Private Money Partnering And Real Estate Joint Ventures.

Private Money Joint Venture Real Estate Blog
CLOSED. For the latest news on Private Money Partnering.

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Come back to see what fresh information we may have on Private Money Partnering.

Private Money Partner Meetup Forum
Private Money Investors & proposers Can meet and find mutually beneficial partners.

Private Money Partnering Home Page
Introduction To How We Can Help You Find The Private Money That You Need.

Protecting The Private Money Deal

Chapter L. Protect Yourself And The Deal

How Could You Protect Yourself?

Forms:

Notice Of Option To Purchase
Affidavit And Memorandum Of Agreement For Purchase And Sale

Something still might happen. What if your partners didn’t do something they were supposed to do, causing a loss? That’s negligent liability, when their “breach of duty” was the cause for the loss. For example, what if they didn’t renew the insurance policy and the property burned down? Or they didn’t have the property protected against significant termite damage when they were aware of the problems? Does the other partner have the right to sue? Yes, there are liabilities in working with partners. Has your partner acted in a responsible manner during the course of the project? A responsible, knowledgeable partner will keep up with how the other partner is handling individual responsibilities. The objective should be watching out for what will keep the project intact.

Avoid Misunderstanding

The mechanism for protecting yourself and the deal is to make sure your venture agreement is in writing. In just a little bit we’ll explore in detail all the components of a good venture agreement. It’s a business agreement or contract, so each of you will want copies. It will help each partner avoid memory lapses and misunderstandings. Make sure both of you fully understand it before checks are written one to the other. When do you record it at the courthouse? Never!! You do not want anyone else knowing the details of your business arrangements. If someone should ask you for references, you can give general information about whether the partner did what they said they would do, and did it when they said they would. You can volunteer whether you would do another venture with them. But the details of your arrangement are nobody else’s business.

What if your agreement isn’t in writing? That’s putting yourself at risk, unless you have worked with that partner long enough to know you can work things out. What is a piece of paper worth, anyway? What is the agreement worth? In a litigious society it is not worth much, but it’s a start. It is worth what the participants are willing to give it value, and it does help people to remember the original intent of the parties.

Notice of Option to Purchase (PDF file)

Affidavit and Memorandum of Agreement For Purchase And Sale (PDF file)

Maintaining Private Money Project Relationship- Chapter M