Law - Xtra Flashcards
NC Licensing Law Regulating the Business of Real Estate
1
Q
Describe Limited Liability Company (LLC)
A
*Simple business entity
*Liability protection
*Each owner is a manager
*Reports income buy pays no tax
2
Q
Describe a Partnership
A
*General partner (Full Liability)
*Limited partner (Liability to extent of investment)
*Every partnership has a general partner
3
Q
What form of business has the most liability?
A
General Partnership
4
Q
Does using a Trade Name equal forming an Entity?
A
No, a sole proprietor can use a trade name and not have an entity
5
Q
Firm License pg. 224
A
6
Q
What is a Qualifying Broker
A
- Must have an active Brokers License (not PB)
- Good character
-Must be principal of the entity
- Officer of the corporation
- Manager of the LLC
- Partner of the partnership - No experience required
7
Q
What is the job of a QB?
A
- Appoints BIC in each location
- Maintain and renew
???
8
Q
What are reasons a FIRM is inactive?
A
- Loses it’s qualifying broker
- Loses its BIC
- Doesn’t renew firm license by June 30th
9
Q
A
