What do you need to do if you want to sell or advertise a business in New South Wales (NSW) if you are already licenced in another state?
To practice as a Business Agent in NSW you must apply for mutual recognition of your state licence or certificate. You must also meet the eligibility criteria and licence conditions as contained on the Office of Fair Trading website. Licence conditions include having professional indemnity insurance in place and undertake continuing professional development each year (12 points per licence year).
There is the opportunity to apply for mutual recognition as a Business Agent (equal to a Real Estate Agents Licence in Queensland) or a Business Salesperson (equal to a Real Estate Sales Person in Queensland). Corporations cannot apply for mutual recognition. If you intend to trade as a corporation, you must also apply for a corporation licence. Further information about applying for a corporation licence can be found here.
Application for mutual recognition is made by completing the form Notification to Local Registration Authority – Mutual Recognition. The form contains clear instructions on documentation you will need to provide, information about the fees to be paid and required professional indemnity insurance.
You must wait until the Office of Fair Trading advises you that the licence has been approved and issued before you can begin selling businesses in NSW.
Please note that NSW has its own unique appointment of agent and related documents. Failure to properly complete or follow the necessary process may result in the business broker losing the right to claim commission and further penalties may apply.
Joe Kafrouni, Legal Practitioner Director, Kafrouni Lawyers
The information provided by Kafrouni Lawyers is intended to provide general information and is not legal advice or a substitute for it. You should always consult their own legal advisors to discuss their particular circumstances. Kafrouni Lawyers makes no warranties or representations regarding the information and exclude any liability which may arise as a result of the use of this information. This information is the copyright of Kafrouni Lawyers.
Liability limited by a scheme approved under professional standards legislation.