Home / How we charge / Profit Share

Profit share: paid when the project profits.

On real estate projects we manage end-to-end — spec builds and fix-and-flips — part of our compensation is a share of net profit. If the project doesn’t profit, that part of our fee doesn’t exist.

What we actually do on a project

The profit share is consideration for active, hands-on project finance management — not a passive royalty:

  • Construction financing. Sourcing and structuring the spec construction or rehab loan from our lender network, preparing the submission package, and coordinating the closing.
  • Pro forma & budget. Project pro forma, sources-and-uses, construction budget and schedule of values, updated monthly through the project.
  • Draw administration. Preparing, assembling, submitting, and tracking every construction draw — lien waivers, sworn statements, inspections, reconciliations, and the complete draw file.
  • Project accounting. Project-level books, monthly P&L and balance sheet, and job-cost reporting with budget-to-actual variance by category.
  • Lender correspondence. We serve as your authorized point of contact with the construction lender for routine matters, so draws fund on time and surprises surface early.

How net profit is defined

In writing, in the statement of work, before the project starts: sale price, less acquisition, construction, interest, closing, and selling costs. Third-party brokerage is always separate — we are financial advisors, not real estate brokers, and we never list or sell the property.

Why owners like it

Because every incentive points the same direction: close the right loan, control the budget, keep draws moving, and land the sale. The engagement typically pairs a per-project engagement fee with the profit share, and the construction loan itself runs under the contingency structure — every leg contingent on the project actually working.

Frequently asked questions

What share of net profit do you take?

Set per project in the statement of work, based on scope and project size — discussed openly on the intro call and fixed in writing before we start.

Who verifies the numbers?

You do — from books we keep current and open to you all project long. The job-cost reports that drive the profit calculation are the same ones you see every month.

Your project, professionally financed and accounted.

Bring the lot, the plan, or the flip. We’ll bring the lender, the pro forma, and the discipline.