November 10, 2016
Q.: I would like to market to first-time homebuyers in New York, put them through a nonprofit loan program of which my company is not affiliated and eventually hand them off to a Realtor in New York. My company operates in Nevada and is licensed in real estate. We would collect a referral fee for providing ready-to-purchase homebuyers. Is my company able to market in New York without a state license? A: As straightforward as the question may seem, unfortunately, the answer is not. The question brings up fond (not!) memories of law school exams, where we were tested on a concept called “jurisdiction.” Jurisdiction involved questions like, “Is it fair for a particular court to hear this case?” And, “Is this state the appropriate place for the plaintiff to sue?” The answer depended on a number of factors, including whether there was a minimum level of contacts with a particular state or court that made it fair for it to hear the case (as opposed to a different location). Same thing happens with taxes.…
Continue ReadingDoes this sound like you: “I’ll just work harder and sell more stuff/get more clients. That’ll turn my financials around.” Well, as Jay Goltz says in his FSB article, “Why Small Businesses Fail,” working harder…
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Read MoreYes, lack of cash flow can kill any business, but it seems to hurt more in business partnerships. First, there’s the denial phase (“sure, we can continue to meet expenses and take our monthly draws”). …
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