eSignature Licitness for General Partnership Agreement in Canada

How to eSign a document: eSignature licitness for General Partnership Agreement in Canada

so i want to show you how we do successful partnerships there's going to come a time in your entrepreneurial journey where you have to work with other people so in this video i'm going to walk you down step by step how we do joint ventures together i was able to put this joint venture agreement together with attorney jessica siegel who's now a judge so you know it's airtight i'm going to show you page by page step by step how you can get out there and do your own joint venture with another third party with another party and further i want to give you a free copy of my joint venture agreements so you got to watch to the end and you know we normally charge for this but i love you and i thank you for watching my videos and allowing me to pour into you so stay to the end and i'm going to give you a special code so you can download my joint venture agreement for free all right let's get into it all right classes chris haskins with the realestateroundup.com my mission and ministry is to raise your financial literacy through real estate investing and entrepreneurship so in this video i'm not quite sure how long it's going to be or if it's going to be one or two parts because i'm doing a joint venture with a with a homeowner so we commonly refer to it as something called equity sharing that's where i step in and share some of the equity for doing all the work to fix the property up so we're going to split it after the property's fixed up at the end of the deal so what are the key components to every joint venture i like to boil it down real simple y'all you know i'm mad simple when it comes to business because a confused mind always says no right i like to be simple so the moving parts you got to understand and i'm going to do my best to take you to the property so you can get a quick walk through just so you can see how we pre-screened this and we how we went inside walked you through it the moving parts it's common small little things right the who on successful partnerships the who what when where and how i love boiling this stuff down so it can be simple everybody understands understands so we can get a business done quickly all right so in a successful partnership who who are the players who are players in this deal so on this particular one here it's me the investor and i'm partnering up with a homeowner so the homeowner already owns the property she has a loan on it so we're going to step in and pay for the repairs very nice young lady reached out to me from northern virginia if you're watching how you doing reached out to me she said chris you know i got a property in the hampton roads area and i was curious if you would pay to pay for the repairs then we'll just spread the profit and i'm like you know what let's give it a shot so we went to go take a look at it walk through it i took my little girls with me y'all see them there and the actually they didn't have a key so i had to pay a locksmith to get inside of this it was quite interesting this is going to be an enjoyable one all right the next thing is the what what are we doing what is the plan what is the purpose of this joint venture so the purpose of this one is to fix the property up and sell it since she already owns it we don't have to acquire it all right and the when what are the dates what is the time frame on this so generally speaking and we're going to go over that together i'm going to show you all the stuff in the paperwork here generally speaking we like to get this fixed up properties done in six months or less where where where is where is the property so you make sure you have to put the address i know it may sound elementary but you got to put the property address in there y'all and how how is this all going to come together what are the responsibilities of each partner what are the contributions what are you bringing to the table right don't feel bad for asking people that because we're bringing stuff to the table right uh what are your duties responsibilities and how does the profit going to lay out how do we get paid what are the percentages when we fix this thing up and sell it so all this stuff is going to be included in my joint venture agreement so let's go over it now together so this is the precise venture the joint venture agreement that i'm using with my homeowner and you see at the beginning just like always everything's standard y'all everything's standard so let's start with the first line this joint venture agreement dated whatever the date is between us we're house buyers llc or partner one p1 i like to uh refer to me i'm the partner one p1 is simple so when we go down to the bottom it's real easy you put p1 so you know exactly who that is i have the address that's my address and the next is the homeowner party2 or p2 having the address there so the purpose number one what is the purpose of this this the purpose of this joint venture is to fix up and sell a piece of real property real simple y'all i don't want no questions so if a judge reads this boom what it says here you plan don't fix it up and selling it right so i want you guys to make sure you boil it down so a two-year-old can understand this so you don't end up in courts a lot of people say well the only ship that sinks is a partnership i don't agree with that i love doing partnerships why i'm glad you asked because we get to share the responsibilities and i don't have to do all the work right i do every i don't have to do everything other partners have done a lot of the work a lot of the heavy lifting and we come together and it's like magic number two remember remember we said the where the address make sure you put the address there number three the term the term of this agreement will expire when said property is sold and neither partner has a deed or lead of trust or any interest in the property all right both parties agree to in agree our intent is to have said property fixed up and sold in under six months right and we'll exercise all means to do so neither partner shall own or finance or enter in any finance like agreement with a third party so that's the term very simple you understand what we're going to do i plan on fixing it up selling it within six months so the contribution this is where it gets very interesting i want to bullet i want to make sure everything there's no question everything's explained boom boom boom chris what are you doing boom boom boom boom partner two what are you doing boom boom boom boom uh let me ask you you uh you you have to know how i came to having everything written out right how many partnerships or joint ventures did i do without having this document and when i met attorney jessica siegel we came together until it was like magic and so far i have not had a bad joint venture since having these docks you got to have your dock set up real estate speaks and docks okay let's move on down to number four contribution this is where it gets very detailed i don't want any questions about who needs to who's responsible for doing what part number one part number two boom okay let's do it so we got here partner two will contribute 55 000 towards property acquisition and closing costs so in this particular case my homeowner already owns the property right she already has a loan on it so we don't have to bring any money to actually buy the property so if you see both of these sometimes partner one will bring some money and partner two will bring some money so it will be determined on your deal i don't know how you're gonna do it so that way you can put who who brings what to the deal to buy the house right let's move on to the third line partner one will contribute that's going to be me 12 to 15 000 towards construction and fix up costs so i am agreeing to pay for all the reno on this deal she didn't have to pay for anything regarding fixing the property up all right so the next line uh fix up costs down partner 2 will pay for all real estate taxes and hoa fees so she's already she already owns the property so she's going to take care of that she's already been paying it she's accustomed to paying it to paying it so i'd rather just keep that as status quo next line part number two will pay for all hazard insurance costs deductible and premium premium so just in case the place burns down while we're doing the repairs we need to make sure the insurance is paid on that right partner 2 shall also be responsible for all the utilities she already has them on right now so i asked like look let's just keep them on how they are so we don't have to worry about that next partner 2 shall be responsible for the monthly loan payment to any lenders so she does have a loan on it so listen you already been paying it keep going on it and as soon as we get done we'll sell the property so you don't have to pay the mortgage anymore and last part number one that's me shall be responsible for any construction overages exceeding the 15 000. so in the real estate business you just do not know how much this construction is going to cost every one of my deals my rentals have been over budget and i'm an expert i've been doing this for many years so i'll even pay for if it goes over 15 000 i'll still pay for that too right i'm anticipating to be 12 to 15 but it's never less right so next page profit or loss profit or profit or loss as of whatever date we signed this under this contract when property is sold p1 that's me contribution of 12 to 15 000 and p2's contribution of 55 000 that's her loan my construction and her loan will be returned and each party will be paid a percentage of the gain on the sale both parties agree to be compensated when said property is sold at the following part number one gets 50 percent of the gain part number two gets 50 percent of the game no question you get your half i get my half we're done number six partner 2 will maintain hazard liability coverage in the amount of whether whatever the replacement value is just keep making keep maintaining the insurance on that property there right uh number seven physical duties of the partners physical duties of each party right so partner one that's me will manage and maintain financial reports i've got to make sure that i have receipts regarding all the materials and labor that we're using to do this fix up partner one me again is responsible for on-site management executive and compliance duties as required partner one will assist in construction management and sales strategy i'm going to make sure that i'm managing all the contractors i'm going to make sure that that when we finish i'm going to interface with the broker to get this thing sold i want to get my money back next partner one will also oversee and manage all construction managing all subs material delivery maintain landscaping demo dumpster all permits and issues with the end buyer both parties shall provide financial accounting to each other upon request or and or every 30 days so i don't want to hold anything back on i don't want to seem like man i'm not being forthcoming because you know how i get down everything needs to be transparent all right number eight now this is a small deal so we we're not requiring i'm not asking anybody to have a life insurance or key man insurance what happens is insurance say you're doing a big big deal and you got hundreds of thousands or millions of dollars out if something happens to one of the partners one of the players it's easy for the other partner to get cashed out if you have insurance life insurance on them okay so just keep that in mind there's nothing personal and no disrespect but if something happens to you you get struck by lightning i don't have to go through all this mess to get my money back i want to just cash in my insurance policy and i'm done that is the way that we handle it with large amounts of sums large amounts of money number nine non-disclosure both parties agree they would not disclose or reveal without written consent the confidential business information of the other part of the other partner so i just don't want people knowing tax ids llc names and all that stuff i don't really care but i need to put it in there just to protect both of us right and number 10 this is very important you've got to catch this one i know this has been a long video and you're waiting for that code i'm going to give you that code so you can go to the video description y'all and download this partnership agreement so you can use it on your next deal changing partners you got to know this from time to time something happens somebody gets taken out of the equation or they get sick or incapacitated or whatever i promise you i've bought several houses i know several lenders that have had to take back houses i'm somebody that went to a coma got sick so these things happen both partners hereby agree that the interest of either can or cannot be assigned to a third party or business entity upon unless upon written consent of the other partner right so we need to make sure that if say for instance if my homeowner wants to say look i want this person to deal with all this from now on in the event either party shall become incapacitated or die the property shall be sold at fair market value and the interest of partner one that's me is going to be transferred to my business associate whose contact number so if something happens to me by default my trusted person boom right there their phone number boom they take care of everything on my behalf partner two they give me a family member or whoever they want give me their phone number so if i get taken out she can just call like hey chris put you down here to take care of this deal what's going on and it's done right isn't that cool if either of these conditions occur third parties proceeds will be divided appropriately and paid to his or her designated person described herein the remaining party will be will take over the duties so my guy is going to step in and they're going to sell the property the broker's information is right here and the broker's contact information right there real simple something happens to me ron steps in talks to the broker when we go sell it and it's over right got the partnership you got it right here and number 11 is just standard legal jargon stuff roundup you guys to have your joint venture agreement if you're doing business with others you gotta have it we do not do business on a handshake in real estate we're transferring the title from this property into a trust that's a whole nother training and i can give you some more information about the land trust if you want to go right there you can see how trusts work but the reason we do that so i'm not on the title my homeowner's not on the title the entity is on the title so thank you so much for hanging out with me and following listen to this if we pour it into you make sure you take a second to subscribe like this content share it in with any other investors as we pass 89 000 subscribers and i told you i was going to give you a code i am so honored you allow me to serve you you allow me to come into your home or into your phone and teach you how to do this real estate craziness right so go ahead go to the video description below you download my partnership agreement and when you're checking out there's a coupon there's an area there for a coupon code just type in the word money type in the word money and it will waive the fee and you'll be able to download my joint venture well me and jessica siegel's joint venture agreement for free right why because i love you i want to see you succeed in this next chapter in your life all right this is chris haskins over and out and uh i didn't have time this is the long video i'll take you to the property we'll walk through it so you can see what i'm going to be doing on this construction okay see you on the next video peace