Question re topic in exams

[RealtorToBe]

I have been taking practice test after practice test in preparation for the state exam. I took an online course. I have a question on a topic I am not clear on... it has to do with the concept of multiple and/or group licenses. What's the difference if any between a group license and multiple licenses? Why can a broker have a group or multiple licenses but not a sales associate? Or if that's not the case, when is it appropriate? I thought a salesperson could never work for more than one broker or is that not true, if they work, for example, on the weekends for an owner/developer? Please help me be clear on this area of law! Thanks!

[wade]

Multiple licenses means a broker has several; a group license is one license that lets a sales associate collect commissions from several entities.


A broker is a principal of the firm, and can have several different brokerage firms. The broker would have several (multiple) licenses. A sales associate can have only one license in Florida because of possible conflicts of interest. For example, if it were allowed, the sales associate could work at one firm that was very busy (but paid low commission splits), get lots of calls from buyers, then take the contracts from those buyers to another firm that paid a higher commission split.


A group license is for a sales associate who works for an employer who has several different entities. For example, as a sales associate, you could work for Eastgate Builders, Southgate Builders, and Nortgate Builders. Provided they are all owned by one developer, you could be paid by these different companies by having a group license.

[RealtorToBe]

Ahh I think I see. Thanks for the clarification.