Questions About Potential Loans And Partnerships help please!!!!

[beat_banger]

hope someone can give me some insight on this..
heres my situation..
i got about $6000 worth of gear in a home studio. that i need to get outta my crib.. reasons being that i live at home w/ my wife and kids so I cant bring potential clients over to do sessions.. i dont gotta explain why thats a no-no...
now i dont have the dough for a down payment for a spot right now, and i found the ideal spot (a little warehouse) where its just big enough for me to turn it into a control room and add a vocal booth.. my getting clients once i set up is not gonna be a problem... i dont care if i gotta record bullshit ass artists as long as im making enough to cover the overhead ($$$) for the first couple of mths.
i have this artist i been working with who has the $$ for the down, and miscellaneous shit,like acoustic treatment, the materials for a vocal booth, etc.. he wants in with me but i dont want a partner.. i want a loan.. i cant go thru a bank cause these student loans from "full sail" are still kicking my ass. basically what i been thinking about doing is offering im a package deal of recording sessions, beats, and mixdown.. basically putting together his whole album for him... but the thing is i think he wants in on a partenership, and i dont want dude thinking that he's getting keys to my joint, and unlimited access 24-7.. this is a delicate topic and i'm trying to figure out how to broach it with him tonight when i have a meeting with him..
the one good thing i have on my side is a lawyer who can draw up the paperwork for me for next to nothing so i can cover my ass in this aspect.. any advice on how to approach this type of business relationship the right way??

 

[dirtyp]

Just cuz hes a partner doesnt mean he needs access to anything, Look at as a slient partener or investor.

I would try to get him to invest and tell him youll pay him the money back and throw in some sessions, have it set up so if you cant pay him back in full he gets his album done for free..

It would be different if you didnt have the lawyer but with a lawyer you can draw up the paper work anyway you want..

 

[mikeh]

Only you know how much you want to get the studio space, how bad you need the cash and what you are willing to give up to get there.

Perhaps if you can determine why this guy wants to be a partner (vs. simply being a lender). If he wants full access to the facility and artistic input over projects - and if you don't want to give that up, then you have a problem. If he just wants access to a studio for his projects - perhaps you can work something out (such as the arrangement you already suggested).

As dirtyp indicates, a partnership is whatever the "partners" agree to. Someone can be a financial partner (involved in the profits and losses) without actually being involved with day to day operations.

I think your approach of offering x hours of studio time (under your supervision) or x amount of completed product - with no other financial considerations or obligations, is a logical approach. As an example, if he gives you $1,000 and you agree to provide $2,000 of studio time (or whatever) it could be a win/win.

Whatever you do, proceed with caution - partnerships often have a way of turning ugly. Make certain both sides understand completely what the agreement is - and get it in writing (even if an attorney is not involved). A simple agreement is not that hard to draft up and for a few bucks you can both sign it in front of a notary (so no one can claim they did not sign the document).