How to Structure a Partnership as Debt

Ashley: I think oftentimes, especially for new investors, they undervalue sweat equity. So if I were you moving forward, especially given now that you've done this successfully a few times, I probably wouldn't bring anyone in as an equity partner anymore. And I would structure every partnership as debt. That way they get the guarantee of a fixed return, but you still get to keep all the upside above and beyond that 12%, which is typically a pretty healthy amount.

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