Question regarding broker license (designated officer)
Specifically regarding the state of California, although I'm guessing this is probably applicable in other states.
Can anyone explain the concept of having someone with a broker's license (not salesperson) being designated as an "officer" at a real estate company?
I've heard of people in California with broker licenses being paid by a company to be their "broker of record" or "designated officer". Does this mean that any matter requiring a broker license, the firm essentially pays a licensed broker to lend his license for signature purposes, etc?
Also, in some cases when I have seen acquisitions jobs posted, one of the requirements is a California broker's license. Why would a firm care if their Acq Officer had a broker's license? Would it be a means for the company to split commissions with listing brokers, i.e. collect some fee income, etc?