Option 1: Individual Sponsorship
By far the fastest & easiest way of obtaining sponsorship from us is to select a sponsorship option which best fits your individual needs and fill out all the applicable paperwork. You can be sponsored within 24 hours.
Select The Individual Plan Best Suited to Your Needs From The "Sign Up Page".
1. Once you have selected a plan, you will be asked to set up your monthly reoccurring payment. Once your payment has been processed, you will receive a welcome email with instructions on completing your registration. Also included in the welcome you will be a receive a username and password for membership access.
Membership allows secure access to our "Agent Portal" portion of the website. Within the "Agent Portal" you will find our Realtor Forums where you can communicate to other agents throughout the state within the TexasAgentSponsor network. This is useful for asking questions, or sending and receiving referrals from other agents throughout the state. Within this secure "Agent Portal" you'll also find our Closing Calendar where all contract documents are easily uploaded to the Broker for signature. Lastly you'll also have access to our Company Form Library. This library provides our agents with all the necessary forms to conduct their day-to-day business such as; logos for signage, company letterhead, invoices etc.
2. Follow the link in your welcome email and the on screen prompts to select the appropriate TREC Salesperson sponsorship form that pertains to your situation. Once selected, all the necessary forms can be filled out electronically online. Once filled out, the forms will be filed electronically and sent to the Broker for approval.
3. Once membership is approved, you will be emailed a copy of all the signed documents within the sponsorship package. At this point it is your responsibility to send your completed Salesperson sponsorship form and applicable processing fee to TREC for processing. Please note, Once this form is mailed into TREC you will effectively become sponsored by Southwest Realty Advisors, LLC even though it may take up to a week for TREC to process the application. However, once the application is processed the effective date will reflect the postmark date the Salesperson Form was mailed off. Further, once TREC processes the application, a copy of your salesperson license will be emailed to the Broker. Upon receipt, this will be forwarded to you for your records.
3a. Alternatively you can also request sponsorship through TREC’s “My Online Services” portal and follow the on page instructions. Please note when requested sponsorship via the online method, the Company Broker’s license number you will be requesting sponsorship under is “9000471″ (Southwest Realty Advisors, LLC). Additionally when using this method the TREC fee is only $20. It should also be noted, if you are requesting sponsorship via the online method, you will however still be required to fill out the online sponsorship forms for the Brokers record.
That’s it, by far the simplest and easiest way to become sponsored! It should be noted, under this scenario, any and all commissions are paid to Southwest Realty Advisors, LLC as the sponsoring Broker of record. You are acting as an agent of Southwest Realty Advisors, LLC. Any and all signage or contracts should list Southwest Realty Advisors, LLC as sponsoring broker with you or your DBA (doing business as) name as the agent/salesperson.
Option 2: LLC Sponsorship (forming your own company)
The second option available generally involves more time and costs up-front, but it provides you with more independence and control over your company. This option generally appeals to the industry veteran agent who wishes to form their own company and hire other agents to work beneath them. This requires forming an LLC (Limited Liability Company).
This in effect creates a separate legal entity, thus limiting your personal liability. Once formed we will then act as the sponsoring broker of record while you and Reed Coleman, individual Broker, will both be listed as the LLC manager's.
You will however be the LLC's sole and only owner or record, enabling you with control over its day-to-day operations. Once your LLC is issued a Broker License, this will then be used to sponsor your individual salesperson license and any agents you hire for your company. Additionally by establishing an LLC, you will be able to obtain a Federal Employee Identification Number through the IRS. In doing this you will then be able to open a bank account where all commissions will be paid directly to your LLC.
No commission splits or desk fees. No waiting on your broker to distribute your money. No Hassle! It should be noted if you choose to bring on additional agents under your LLC; the sponsorship is only $225/month for the first agent (you) and $125/month for each additional agent.
At TexasAgentSponsor we will walk you through each and every step of the process. If at any time you have any questions feel free to call or email us.
1. Forming an LLC
Get creative when thinking of a name of your LLC. This will be YOUR Company and YOUR brand. It will identify your business and should be prominently displayed on all marketing material. A preliminary determination on name availability can be provided via the Secretary of State either online search of by calling (512) 463-5555.
a. Fill out an LLC Certificate of Formation, (this can also be filed online of fax via the Texas Secretary of State). It should be noted, on your LLC application, Reed Coleman will need to be listed as a "manager" in addition to yourself. TREC requires the designated officer or manager who is obtaining a Broker's license for an LLC also hold an office, or be a manager in the LLC they are sponsoring.
b. If filing by regular mail, send the above form along with the filing fee ($300 for Texas) to the Texas Secretary of State.
Overall the entire process of forming an LLC usually takes approximately 3 days if filed via regular mail or as little as 24 hours if filing online or fax.
2. Obtaining an Employer Identification Number
Get an EIN by filling out form SS-4 and faxing it to the IRS (free), or file online.
It should be noted many 3rd party providers offer a streamlined approach of the above steps and can create and file all the necessary paperwork for you. This usually requires a small fee in addition to the applicable State Fees. Examples of such providers are Legal Zoom.
3. Obtaining Errors & Omissions Insurance
TREC requires the business entity obtaining a broker's license (LLC) to provide proof and maintain E&O Insurance in the amount of $1,000,000 if the Individual Broker sponsoring the Business Entity does not own 10% or more of the company. This will be the case for LLC sponsorship with the Broker having 0% ownership interest in your company. Therefore Form BE COI-1 must be included and filled out by your E&O provider with the LLC Brokers Application at the time of submittal.
4. Obtaining a Broker License for your LLC
Once you've completed the above steps you'll also need to fill out the Corporation/LLC Broker Application and send this to us for our signature. Once signed we will return to you for submittal to TREC. This application will allow you to obtain a broker license number for your LLC. Additionally TREC also requires a Copy of a "Certificate of Account Status" aka "Franchise Tax Account Status" included with the application which is available from the Texas Comptroller of Public Accounts. Lastly you must pay the TREC filing fee of $173 (paper) $153 (online) at the time of submittal.
5. Obtaining Sponsorship for your Salesperson License
Once a Broker's license number is issued for your LLC, the Broker will notify you via email with a copy of the new company Brokerage license. At this point you must then go to the "Sign Up" Page of the website. Select Option 2 and follow the onscreen instructions to set up your payment and fill out necessary forms to become sponsored under your company Brokerage license. See Steps 1, 2 & 3 at the top of the page for detailed instructions. Please note, Step 3a does not pertain for salesperson sponsorship under a new company license.
Listed below are several helpful links and resources that correspond to many of the information provided above
- Texas Real Estate Commission (TREC)
- Texas Secretary of State
- LLC Info
- DBA Info
- Business Cards (Vista Print)
- Signs (Aztecs Signs)
- Signs (Build A Sign)
- OREP (E&O Insurance)
- TREC FAQ's
Reed Coleman, President