Blank Texas Bbe 1 Form

1. What is the Texas BBE 1 form used for?

   The Texas BBE 1 form is an application for a broker license by a business entity, such as a corporation, limited liability company (LLC), or partnership. If a business entity intends to provide real estate brokerage services in Texas, it must obtain this license. The form requires the designation of an officer, manager, or partner who will act on behalf of the entity, and this designated individual must hold an active Texas real estate broker license.

2. What are the fees associated with the Texas BBE 1 application?

   When submitting the Texas BBE 1 application, several fees must be included:

   • Application Processing Fee: $123.00
   • TREC Application Fee for LLC: $20.00
   • Real Estate Research Center Fee: $20.00
   • Recovery Fund Fee: $10.00 (if not previously paid)
   • Paper Filing Fee: $20.00 (for any application available online)

   The total fees can amount to $143.00, and all fees must be submitted at the time of filing. Payment should be made via cashier’s check, personal check, or money order, and cash is not accepted.

3. What happens if the application is incomplete?

   If the Texas BBE 1 application is incomplete, it will not be returned for completion. Instead, the Texas Real Estate Commission (TREC) will mail a letter requesting that the applicant remedy the deficiency. It is essential to ensure that all required information and documentation are provided to avoid delays in the application process.

4. Are there any background checks required for the designated broker?

   Yes, a background check is mandatory for the designated broker of the business entity. This includes submitting fingerprints to the Department of Public Safety (DPS). If the designated broker has not been fingerprinted for TREC before, they will need to pay a fee to DPS for this service. Additionally, the application will not be approved until TREC receives confirmation from DPS that the fingerprints are on file. It's important to plan ahead, as the fingerprinting process may take up to 10 days.

Filling out the Texas BBE 1 form can be a straightforward process, but many people make mistakes that can delay their application. One common error is failing to ensure that the designated broker is an active Texas real estate broker. If the designated broker does not hold an active license, the application will be rejected. This requirement is crucial for the approval of the application.

Another mistake involves the submission of fees. Applicants often overlook the necessity of including all required fees at the time of filing. An application submitted without the correct fees will be returned, causing unnecessary delays. The total fees must be clearly calculated and submitted in the correct form, such as a cashier's check or money order. Cash payments are not accepted, which can catch applicants off guard.

Some applicants forget to attach the Certificate of Good Standing. This certificate must be dated within 21 days of the application and is essential for proving that the business entity has no outstanding tax issues. Neglecting to include this document can lead to immediate rejection of the application.

Another frequent oversight is failing to provide accurate contact information. The business address must be a physical location, not a P.O. Box. Additionally, applicants should ensure that the phone numbers and email addresses are correct. This information is vital for the Texas Real Estate Commission to communicate effectively regarding the application.

Additionally, applicants sometimes misinterpret the background history questions. These questions are critical, and any affirmative answers require additional documentation. Failing to provide the necessary background information can lead to disapproval. It’s important to read these sections carefully and respond accurately.

Some individuals do not plan for the fingerprinting requirement. Each designated broker must have fingerprints on file with the Department of Public Safety. Applicants should allow sufficient time for this process, as it can take up to ten days. Not planning for this step can result in delays in receiving the license.

Moreover, applicants may overlook the need for proof of ownership if the designated broker owns 10% or more of the business entity. Providing this documentation is essential to avoid complications in the approval process. On the other hand, if the designated broker owns less than 10%, the BE COI-0 form must be attached, which some applicants forget to include.

Finally, some applicants fail to understand the importance of providing complete and truthful information. Misrepresentation can lead to disapproval of the application or revocation of the license later on. It is critical to review all responses for accuracy before submission.

By avoiding these common mistakes, applicants can streamline the process of obtaining a Texas real estate broker license for their business entity. Careful attention to detail can make a significant difference in the outcome of the application.

When applying for a Texas Real Estate Broker License by a business entity using the Texas BBE 1 form, several other documents may also be required to ensure a complete application. These documents help verify the business entity's compliance with state regulations and support the application process.

• Certificate of Good Standing: This document confirms that the business entity is legally registered and compliant with state regulations. It must be dated within 21 days of the application submission and is obtained from the Texas Comptroller of Public Accounts.
• Background History Form: This form is necessary if the business entity or its designated broker has a history of license issues, unpaid judgments, or criminal offenses. It provides a comprehensive overview of any past legal or professional challenges.
• Certificate of Insurance for a Broker Business Entity (BE COI-0): If the designated broker does not own at least 10% of the business entity, this certificate must be included. It demonstrates that the business has the required Errors and Omissions (E&O) insurance coverage of $1 million.
• Proof of Ownership: If the designated broker owns 10% or more of the business entity, documentation such as a resolution or minutes from a meeting must be provided to verify ownership status.

Gathering these documents ahead of time can streamline the application process and help avoid delays. Ensuring that all required paperwork is complete and accurate is essential for a successful application for a Texas Real Estate Broker License.

The Texas BBE 1 form is similar to several other documents used in the real estate licensing process. Each of these documents serves a specific purpose and shares common elements with the BBE 1 form. Below are four documents that are comparable to the Texas BBE 1 form:

• Texas Real Estate Broker License Application (Individual): This form is used by individuals seeking a broker license. Like the BBE 1, it requires proof of previous licensing and background checks, ensuring that applicants meet the necessary qualifications to operate as a broker.
• Certificate of Good Standing: This document verifies that a business entity is compliant with state regulations. Similar to the BBE 1 form, it must be current and submitted with the application to demonstrate that the entity is legally recognized and has no outstanding tax obligations.
• Background History Form: This form is required for all applicants, both individuals and entities, to disclose any past disciplinary actions or criminal history. It parallels the BBE 1 form in its focus on the applicant's integrity and fitness to hold a real estate license.
• Application for Real Estate License Renewal: This document is necessary for renewing an existing real estate license. Like the BBE 1 form, it includes sections for fee submission and proof of continued eligibility, ensuring that all licensees maintain compliance with state laws.

When filling out the Texas BBE 1 form, there are important dos and don’ts to keep in mind to ensure a smooth application process. Here’s a helpful list:

• Do ensure that the designated broker is an active Texas real estate broker. This is crucial for the application to be approved.
• Do submit all required fees at the time of filing. Incomplete applications will be rejected.
• Do provide a current "Certificate of Good Standing" issued within 21 days of your application. This is necessary to prove your business entity's compliance.
• Do read the entire application carefully to avoid mistakes that could delay processing.

• Don't submit cash as a payment method. Use a cashier's check, personal check, or money order instead.
• Don't forget to include proof of ownership if the designated broker owns 10% or more of the business entity.
• Don't submit an incomplete application. If any information is missing, it may lead to delays.
• Don't wait until the last minute to get your fingerprints done. The process can take up to 10 days.

Following these guidelines will help you navigate the application process more effectively. Take your time, double-check your entries, and ensure all required documents are included. Your diligence now can save you time later.

• Misconception 1: Any business can apply for a Texas broker license using the BBE 1 form.

This is incorrect. Only business entities that provide brokerage services and are incorporated as a corporation, LLC, or partnership can use this form. If a business entity held a Texas broker license in the last six months, a different application form must be used.

• Misconception 2: The designated broker does not need to be licensed in Texas.

This is false. The designated broker must be an active, individually licensed Texas real estate broker. Without this requirement being met, the application cannot be approved.

• Misconception 3: Fees can be submitted after the application is filed.

This is misleading. All required fees must be submitted at the time of filing the application. An application submitted without the appropriate fees will be rejected and returned.

• Misconception 4: A business entity can submit an incomplete application.

This is not true. An incomplete application will not be returned for completion. Instead, a letter will be sent requesting that the deficiencies be remedied.

• Misconception 5: Fingerprints are optional for the designated broker.

This is incorrect. Fingerprints are a statutory requirement for the designated broker, and the application will not be processed without them. The designated broker must also pay a fee for a background check with each renewal.

• Misconception 6: A Certificate of Good Standing is not necessary for the application.

This is a misunderstanding. A current Certificate of Good Standing, issued within 21 days prior to the application date, must accompany the application. This certificate confirms that there are no delinquent taxes owed to the state.

• Misconception 7: The Texas Real Estate Commission does not conduct background checks.

This is false. Filing an application authorizes the Texas Real Estate Commission to investigate the applicant's background. Information revealed may lead to disapproval, even if other requirements are met.

• Misconception 8: The application will not expire if requirements are not met within a year.

This is misleading. If all licensing requirements are not met within one year of the filing date, the application will indeed expire.

Filling out and utilizing the Texas BBE 1 form is a crucial step for business entities seeking a broker license in Texas. Here are key takeaways to consider:

• The BBE 1 form is specifically designed for business entities such as corporations, LLCs, and partnerships applying for a Texas Real Estate Broker license.
• It is essential that the designated broker, who acts on behalf of the business entity, is individually licensed as an active Texas real estate broker.
• If the designated broker does not own at least 10% of the business entity, the entity must maintain Errors and Omissions (E&O) insurance of at least $1 million.
• All application fees must be submitted at the time of filing. An application without the required fees will be rejected and returned.
• A current "Certificate of Good Standing," dated within 21 days of the application, must accompany the form to confirm the entity's compliance with state tax obligations.
• Submitting the application authorizes an investigation into the applicant's background, which may affect approval even if other requirements are met.
• Fingerprinting is mandatory for the designated broker. This process must be completed through the Department of Public Safety (DPS) and requires a fee.
• Applications that do not meet all requirements within one year of submission will expire, necessitating a new application.
• Business entities not licensed in their state of incorporation must provide proof that their state does not license such entities as brokers.
• It is critical to ensure that all information provided in the application is accurate, as any discrepancies can lead to disapproval or revocation of the license.

Understanding these points can facilitate a smoother application process and help ensure compliance with Texas real estate regulations.