Broker Career Guide and Counseling

Question: What percentage does a broker take in the sale of a business? I would like to find out how much I should expect to pay a broker/agent to sell my restaurant business in a mall eatery. I'm sure it goes by percentage so what percentage should I expect to pay the broker. Also, does the buyer also pay the broker a certain percentage? Thank you

Answer: You could call a broker in an adjacent town & ask them without giving away your location. They used to charge 10-12% comm for a business opp sale. .

Question: How should I deal with a broker who sells cars bought from auctions? A close friend of mine said he would like to introduce me to a local garage that sells cars bought from auctions. (I suppose the correct term to use is "a broker"). Apparently, cars sold this way can be reasonably cheap, and the broker in question also owns a garage that can repair the cars when necessary. As this is a close friend, I don't want to refuse, saying I'll meet the broker, although I don't really know how honest the broker is. Do you have any advice?

Answer: Buy an extended warranty from a third party and consider that part of the purchase price. If the two add up to more than you are willing to spend, then it is not a good deal. Insist on a carfax report that shows all inscurance claims made for the VIN of the vehicle. Cars bought at auction could have serious frame damage, water or smoke damage too. Great that the guy can fix the cars, but unless you get something in writing that says he will do it for free it doesn't mean a thing. EDIT: He is a middle man, you can pay a small fee and buy a car at an auction and eliminate the middle man mark up if you want to do your homework. Either way inquire about an extended warranty first and call that part of the 'price'.

Question: How can I become a mortgage broker in california? I simply cannot seem to find legitimate information on becoming a mortgage broker in California. Many of the web sites that purport to have information really share very little of anything and some are just plain frauds. I'd like to find information on mortgage broker training and possibly information on finding a school (preferably Los Angeles) where I can get training on becoming a mortgage broker.

Answer: What are you thinking BRO that is a bad job especially this time of the year. You only get two applicants a week. No houses selling.

Question: How does a principal broker for a real estate company get paid? I am thinking of starting a real estate company in Tennessee. What is a fair way of paying a principal broker? Do they typically get paid a salary or percentage of what agents produce? I am a licensed broker, but do not wish to be the principal.

Answer: Most often, they get a piece of every transaction in the office. Their license is on the line for it. Of course, broker/owners who don't want to be principal are usually playing rope-a-dope, so whatever you can get your dope to agree to. If your practices and supervision and training were up to the task, there wouldn't be any need to pay the dope, would there?

Question: What states need a broker to hold real estate licenses for agents? I am a real estate agent in Minnesota. In the state of Minnesota I am required to have a broker hold my license. Thus, costing me a lot of money every month to be an employee of a brokerage. Are there any states that don't require a broker to hold your license?

Answer: So, what you are trying to say is that you DO NOT want to pay anyone for the use of their office space, to do research on their computers, send and receive faxes on their fax machine, make and receive phone calls on their phones, write up offers with their forms, conduct closings in their conference room? By law, you are not allowed to do business for yourself unless you are a broker. As a real estate sales associate, your legal actions are to be controlled by someone who is more knowledgeable than you. Contracts with a broker can be negotiated. Perhaps you need a broker who will allow you to keep 100% of your commission while charging you for the use of their equipment, forms, etc on a monthly basis. But be warned, in this trying market it is rather difficult to get the sales. If you are conducting a couple of sales per month consistently in these hard times, then go to a brokerage which will do this.

Question: What is a good discount broker with good streaming charts and indicators? I currently have Ameritrade and like their streaming charts with indicators. The problem is there streaming quotes often lock up. They also do not have trailing stops. I also use optionsXpress which I like, but I would like a different broker for my other account so that I can take advantage of some extra features. What are some of your favorite discount brokers, especially ones that are favorable to trading options in an IRA account? Thanks.

Answer: You can see the fair Stock broker comparison based on the commissions and fees, minimum balance requirement, platform quality, margin rate, etc. This is the up-to-date report. http://www.digcent.com/stocks_brokers.htm

Question: What is the best online broker to start trading stocks with? My friends are all investing in a 20 cent stock that they predict will skyrocket in value within the next year. I promised to join the bandwagon, but don't want to make any mistakes when it comes to choosing an online broker. I understand I will have to call the broker to buy this stock (under $1.00 per share), so good customer service is definitely a plus. Thanks!

Answer: One that has low fees. The customer service angle makes your search a bit narrower. Most online brokers have downgraded service for speed via the net. Browse the net to make comparisons. I use e*trade but don't need to talk to anyone usually. Always do your homework on any stock your going to purchace. You can still lose money on cheap stocks. Make the decision about a purchace on your own. Somebody who is recomending a stock might just "have an axe to grind", and want people to inflate a stocks value just to line their own pockets.

Question: How long does a stock broker take to generate a monthly/quarterly account statement? 10 business days for a pdf? I am getting concern or is it just industry practice due to some SEC rules? Any other pros and cons with a specific broker would be helpful. (Appreciate if name of the broker(s) and type of account(s) are included.)

Answer: There are no SEC rule regarding account statements. FINRA rules require that account statements be sent at least quarterly. However, the common practice seems to be providing statements on a monthly basis. While 10 business days does not violate any rules, it does seem like a long time. I use Scottrade and I don't remember it ever taking longer than 2 business days to receive a monthly statement. If I don't access it online within a few days, I get an email reminding me that it is ready.

Question: How can I find a real estate broker to help find a good locations to open a sex shop? I am seriously considering to open a sex shop. I currently sell on ebay, but I would like to expend as soon as possible. So, I am looking for a good location. But I think a professional broker would be very helpful to find a location.

Answer: With zoning issues, it is going to be best for you to work with a realtor. You should look for one locally who handles commercial real estate and just be upfront with them.

Question: What is an online stock broker that allows kids to get accounts with a cosign? I am a 13 year old kid, but really want to invest in the stock market. My parents will cosign but I want to invest online. As far as I have looked, I have not been able to find an online broker that allows you to do this. If any one knows an online broker that allows this, please answer.

Answer: you must be 18 to open an account PERIOD, that is the Law. You can, however, open up an UGMA (unified gift to minors account) with a parent as a Custodian, and then at a designated age, between 18-25, the account becomes yours. Every brokerage firm can and will set up and account in this manner. Good luck!

Question: How do I broker a partnership between two tech companies who’s services will compliment each other? Thought of cool way two leading companies could combine a service which would benefit them both. I am not a professional broker but would like to propose my ideas and/or possibly develop software which would couple the services. I would like to obtain some financial gain as the proposal will augment features as well as create a new revenue point.

Answer: first thing is to get a confidentiality/non compete so you can initiate discussions, then get them to sign an exclusive brokerage agreement.Better see an atty for this, particularly since you have never brokered a deal. There is a lot to know.

Question: How do I become a mortgage broker in ohio? I know the mortgage industry is in a mess right now, but I am looking toward the future when we rebound. Wondering what requirments there are to become a mortgage broker in Ohio. I am looking to work this industry on the side, as I already have a full time sales job. Also what are the typical commisions paid to brokers for sub-prime, prime, and jumbo mortgage loans...is this split with the company you work for? I already work 100% commission, so that is not a problem. Any input on this career is greatly appreciated, ie the ups and downs.

Answer: Here's a link to the application required by the state. It included a list of requirements to be eligable. http://www.com.state.oh.us/dfi/documents/mainofficemortgagebrokerapppacket_000.pdf I would start by getting some of the required education. You may want to also work for a company before typing to open your own brokerage. Even if you only work in a related field it will be very helpful later on. Such as as a real estate assistant to a successful real estate agent.

Question: What is the best online trade broker to use? I am a college student and i dont want to invest to much money but i really want to get into the stock market game. I heard that a few online brokers had minimum investment accounts of about 500 or so, and i dont want to do that much, what is a flexible reasonable e broker?

Answer: I just opened a basic account with ETrade with a balance of $200. Give them a call and they can explain the basic account differences to you. Just be aware that with low account balances, the trade commissions are rather high (I'm paying $9.99 per trade right now). Good luck!

Question: How do i go about becoming a stock broker? I'm 23 year old and just want some advice if going to college is my only option to become a stock broker. Thanks.

Answer: To become a stock broker, a college education is not necessarily needed. What you need to do is interview with financial companies. Banks at this point in time is a good starting point. While you are employed they will pay for your training, licensing and some even provide tuition reimbursement programs. Although, within a bank you normally are restricted to just CD's, mutual funds and annuities (which are insurance products). If things go well, you'll be offered a promotion into managed money. A stock broker, is more of an aged term. The industry has moved more towards a financial planning/advisor role. However, if you mean a stock trader on the NYSE. Well, that's a whole different story. You'll need to find someone with deep pockets that has rented a seat on the exchange. Those usually go for approx. 1-5 million per year. Some companies will allow you to rent a seat from them. But they are few and far between. Just my two cents.

Question: What's the difference between a broker and sales associate? What are the differences and which is better when it comes to buying or selling a home: broker, broker associate, sales associate?

Answer: Broker's can go and start their own company and hire Sales Associates to work under them. Sales associates CANNOT go out on their own, but must "hang their license" with a broker. Hope this helps. P.S. I would advise to work with a broker. Why? They have encountered more problems and solved them successfully than a sales associate who may just be getting into the business. If you had to hire someone to do your taxes would you hire a bookkeeper (Sales Associate), or an accountant CPA (Broker)?

Question: What is the advantage of using a broker as opposed to a carrier for hauling freight? When dealing with transportation and moving full truck load and LTL freight throughout the U.S., what is the advantage with using a broker? Some companies say they love using brokers, others say they hate them. Why would you and why wouldn't you?

Answer: Using a broker... the load gets hauled by whoever has the truck available, and at the best (?) price. Using a carrier... you will probably have more reliable service, and be able to build a working relationship with the company. Basically... if you have lots of freight to move, and often... work with a carrier... if your freight is sporadic or infrequent, try working with a broker.