Why Commission Advance on Listings?
You do not have to wait until the deal is closed for you to receive somemuch-needed cash. You can apply to your company of choice to receive an advance on your commissions. There are companies that buy your commission at a fair discount and allow you to convert forthcoming earnings into cash right now.
What is a commission advance?
It is a cash advance on your commission. You sell a portion of your expected commission at a discount and you receive immediate cash in exchange. Commission advance on listings,simply put, it is a cash flow service that allows you prior access to your commission on business transacted when you are in need of cash for whatever reason.
Benefits
- Early access to funds when in need
- You are in a position to fund pending projects without delays, thus avoiding the risk of losing out on deals.
- On-time tax payments, thus enabling you to avoid fines
- Avoid loans and bank advances which can be quite expensive.
- Reduce debt and avoid bad credit.
- Keep track of your income.
- You get paid for business completed when the contract is signed.
- You do not have to wait until the business is closed and paid for in order to invest in more business and chase more deals.
How do you decide which real estate advance commission company to work with? Here are some tips to guide you to the best choices:
- Fees: You should expect to be charged only a discount fee. No self-respecting company will allow hidden fees explained away as administrative, minimum or wire fees or application fees. Any company that charges a bevvy of such fees is to be given a wide berth.
- Approval: This should be done on the same day. Listing and submission of documents is very easy and fast; a one-day transaction. Your application should be done, verified and approved, and money deposited into your account in one day.
- Credit checks: Expect none. If your credit record is not very impressive, you need not worry about credit checks. You should, however, go to companies that do not do credit checks. They are not giving you a loan, after all.
- Ease of application:The application is done online. The form provided should be brief and clear about the documents you need to furnish the company with.
- No imposed maximum or minimum funds: The company should not dictate how much commission can be advanced.
- Number of advances: You should be in a position to take more than one advance depending on how many deals you need funding for. Go for a company that has no restrictions on how many advances you can take.
The choice of company to approach for a commission advance on listings is crucial as you do not want to end up with the short end of the stick having been shortchanged on the deal by being given limits on how much or how many advances you can take.
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