Question about getting FINDER fees in California from out-of-state realtors

[Jyotin Gautam]

I want to work as a Finder in California but do not have a DRE license.  I am able to find clients who would be interested in buying properties in other states -  for example New York, Florida, Texas or Ohio. I'm pretty sure this is allowed within California based on articles by CRES Insurance, but unsure about how to send clients to other state realtors as a finder.

My question is: If I make agreements with realtors in various states outside California, can I send them clients and collect finder fees? To clarify I will not participate in negotiations or other activities needing a license. Is such a Finder business model common? Are there any gotchas that I need to be aware of?

I'd greatly appreciate guidance and pointers!

Regards - Jyotin 

[Charles Carillo]

@Jyotin Gautam

You might be able to do it as you have explained it without being licensed, but if you are going to start a business of making referrals/finders fees, why limit yourself? Just go through the licensing process to maximize what you can do and what you can make.  Additionally, many licensed people (myself included) will never agree to pay "finders fees," "referrals," "commissions," or whatever else the same fee can be called to an unlicensed individual.