Top Advantages of a Limited Liability Company Sponsorship Plan for Real Estate Agents
You are required to have a sponsoring broker so that you can have your real estate license activated. A sponsoring broker will usually have massive experience levels and can help you through mentorship, legal protection, marketing, and name or brand recognition. The traditional method of sponsorship is that the real estate agent will offer services under the sponsoring broker’s company, but a large part of the commission they earn will go to the broker. However, a new and better way has come up which allows real estate agents to build their own brands and keep all of the commission that they earn. Find out the advantages that you can gain from signing up for limited liability company sponsorship plan in this article.
You gain the benefit of building your brand in the real estate industry. When you get into this plan, a limited liability company will be formed and a broker’s license obtained for it. The Texas Real Estate Commission issues a broker’s license to any entity as long as it has a designated broker. One of the principals of the sponsoring company will act as your sponsoring broker and its manager as a way to ensure that the limited liability company formed complies with the licensing requirements in place. This provision allows you to run the company as the owner, and you can do what it takes to build the brand. You will get to hire your agents to help with your work as you keep growing the brand.
It will be possible for you to do away with broker commission splits through this arrangement. What you will be needed to pay is a setup fee to get the company started. You may also be needed to pay fees for each agent that you acquire for your company. You are sure to get more benefits from running your brand compared to the costs that will be involved in obtaining such sponsorship.
The other benefit that you will gain is that of accessing full-service support in the process of running your company. You will access senior level broker support whereby you will have the guidance you need to get your way through the real estate industry. You will also access legal protection since the sponsoring company will have an in-house lawyer to take care of you. Thus, not only will you be in a position to build your brand, but you will also access all the support that you need to make this a reality.