My husband just became a RE agent and works for a company as an independent contractor. He will have to claim the income as if self employed. Should he set himself up in a sole propriership or an LLC to protect his assets?
2006-06-12 12:53:18 · 3 answers · asked by Anonymous in Business & Finance ➔ Careers & Employment
A sole proprietorship or LLC will make no difference as neither designation provides protection against the owner in cases of a lawsuit.
The best protection your husband has is to have his broker-in-charge review and sign off on any contracts presented. Real Estate Agents are prone to lawsuits. Realistically, that's what brokers are there for - to provide legal guidance to their agents, otherwise your husband would not have had to affiliate himself with a company to actively practice.
Errors & Omissions (E&O) insurance is the general practice for companies/brokers. Have your husband make sure he is covered under your broker's policy. He should be, but it will depend on the law of the state he practices in. If not, he can easily apply for it on his own.
2006-06-12 13:02:20 · answer #1 · answered by RCF1977 4 · 0⤊ 0⤋
People do industry with persons, and I feel they wish to carry they're going to be handling a man or woman alternatively than a "faceless" organization. I feel that as an coverage agent, placing your photo on your small business playing cards, letterhead, income letters can best support. Unless you seem like Shrek. Consult Dan Kennedy's stuff for a few extra recommendation.
2016-09-09 00:37:04 · answer #2 · answered by marceau 4 · 0⤊ 0⤋
The broker that he works for should have Errors and omissions insurance on his transactions.
2006-06-12 12:58:24 · answer #3 · answered by golferwhoworks 7 · 0⤊ 0⤋