There have been questions circulating regarding teams and the Board of Registration Chair and the Executive Director have responded as follows:
The Board does not interpret any of the regs or statue to prohibit you from “leading” a team in MA. We would define leading as: discussions/meetings/coaching on: Production, Personal Marketing, Sales, Role-playing, Training, Business Planning, Best Practices, coordination of activities on Listings and Buyer’s, etc.
Instead, we have agreed that if you are a team leader or have a team (regardless if you are a Licensed Salesperson or Broker), the BROKER/Brokerage is still the authority for all things, including- managing all escrow funds , paying of all commissions, advertising-including social media, agency relationships run to the Brokerage, supervision, enforcing/maintaining office policy, and hiring, independent contractors, admins etc.
The only role the Leader of a team may play is for production ($) and/or coordination of efforts as mentioned above, but the Broker/Brokerage is the ultimate authority responsible as always for all the actions of its affiliated agents/brokers.
If a team leader or group, under the Broker of Record/Brokerage, chooses, for tax purposes, to become a corporate entity (Inc., LLC, LLP, etc.) then the corporate entity must also have a MA Brokerage License; however it does NOT make them the BROKER of RECORD or the RESPONSIBLE Broker.
NO Affiliated Agent or Broker, or Team may assume the role of Responsible Broker/Brokerage in a team capacity or otherwise.
We are in the process of approving a TEAM FAQs document for MA, and as soon as its done we will distribute. Thank you as always.
Thank you to Board Member Kim Allard for sharing!