CHOOSING A BROKERAGE

Fifteen questions to ask before you sign

A recruiting conversation tells you what a brokerage wants to say. These fifteen questions tell you the rest.

Take these into every meeting and ask the same fifteen of each brokerage. Compare the answers side by side rather than the pitches. Where an answer is vague, ask for it in writing.

Compensation

  • What is the split, and what are the tiers either side of it?
  • What moves me between tiers, and does it reset each year?
  • List every deduction before I am paid. Desk, technology, franchise or membership, per file, E and O, compliance, dues
  • Are there volume commitments, and what happens in a quiet quarter if I miss them?
  • When am I paid after funding, and by whom?

Lenders and files

  • Which lenders can I submit to directly, and which go through someone else?
  • Is lender status mine or the brokerage's, and does it apply from day one?
  • What happens to a commercial, B or alternative file I cannot place myself?
  • Who reviews my files for compliance, and how quickly?
  • What underwriting support exists, and what does it cost me?

Your business, and leaving

  • Who owns the client relationship and the client data?
  • May I keep my own brand and website?
  • What is the notice period, and what happens to files in progress if I go?
  • Is there trailing compensation on deals funded before I leave?
  • What has broker turnover looked like over the past two years?

How to read the answers

The last five matter most and get asked least. A brokerage confident in its offer will answer exit questions directly and put the answers in the agreement. Hesitation on who owns your book is itself an answer.

Common questions

Is it reasonable to ask about exit terms before joining?
Yes, and it is the standard practice among experienced brokers. Exit terms determine what you keep if the fit is wrong, and they are far harder to negotiate after signing.
Should I ask for the answers in writing?
Yes. Splits, fees, notice periods and ownership of your client data belong in the agreement, not in a recruiting conversation. Anything material that is only verbal is not a term.
How many brokerages should I talk to?
Enough to have something to compare. Two written offers modelled on your own volume tell you more than five conversations.

Ask us all fifteen

We would rather answer these before you join than after. Book a call and bring the list.

Book a discovery call