Posted by SharonMN on 3/4/13 11:22am
Msg #459098

Working with another notary

For those of you that work with another notary - how do you structure the relationship? I think it is easier for a husband/wife team because you can claim the income as shared, but what if it is an unrelated person?

Referral only (tell the scheduler, I can't do it but call this other person)
Scheduler still books everything through you but pays the other person directly
Employee (seems like this would be a tax nightmare - wouldn't both of us end up paying tax?)
Formal business entity - partnership or LLC?
Other ideas?

Reply by 101livescan on 3/4/13 11:29am
Msg #459099

Given all the liability and exposure we have INDIVIDUALLY, I think it is best to refer work to another notary. Unless you form a company, then you become an ENTITY...Different game. You're no longer a sole proprietorship.

INDEPENDENT CONTRACTOR relationship changes when you become an entity. How do you both become responsible for a single set of loan docs? I think the entire payment issue becomes complicated, accounting, etc.

I just refer work to trusted associates, people I know I can count on to do the same quality of work I deliver.

Reply by Julie/MI on 3/4/13 11:42am
Msg #459103

no nightmare a little of both....

When I swap with my brother, we just keep track of how many we do for each other. If I give him a $125 closing and he give me one that he charges the company $110, it's merely tit for tat. The $$ doesn't matter. There is no paying one other, hope i'm explaining right.

Now for my friend, I've done an LLC, and I pay her and give her a 1099. She is approved, background checked and approved to take the place of me with my major clients.If I give her a referral I don't want, she gets the check mailed directly to her.And I don't take a cut.

Reply by Yoli/CA on 3/4/13 11:50am
Msg #459105

Straight referral is much less complicated.

Only thing to keep in mind when doing so, as Cheryl mentioned, is that referral also reflects on you. When I can't accept a signing, I'll refer that party to someone who has the same work ethic and integrity as I. The terms of the job is strictly between them.

Reply by Stephanie Santiago on 3/4/13 12:40pm
Msg #459120

Makes sense to me Julie... n/m

Reply by Stephanie Santiago on 3/4/13 12:01pm
Msg #459108

No relationship to structure - you have passed on assignment

all of the fees belong to Notary that accepts the assignment.
The only thing scheduled through you are the assignments that you accept.