Attorney referral profits ideas???

Question

I own a quickly building foreclosure business.
I have put together a stable of 52 active and cash ready investors to purchase my short sale properties this in part has generated much of my new found short sale success.

As of late, a great percentage of my clients have had to file either 7 or 13 to stall the sale process.

I have been referring all these clients to 1 specific attorney without advising them of course (I am not a lawyer).

I wish to capture a fee from this indirectly since I am prohibited from directly profiting from a law practice since I am not a lawyer. I have sent this lawyer 30-40 deals over the past 60 days and see no end in sight...This number is based on my marketing and clients available is going to go higher and higher.

I have thought about setting up a separate LLC. unrelated to my R.E. ventures & business in an effort to provide a legitimate service and capture in roundabout way the profits I am handing over.

Any help, ideas, etc. is appreciated.

Guru_wanna_be

N.A N.A · Answer

I should have followed up with my solution.  :roll:

Yes u are correct! I cannot be paid, period!

I was looking for and ethical and legal way around this...
I am blessed to have been in court recently as a witness for several of my clients where another investor took advantage of them as well as of several hundred other people in a very short time...

Long story short, The Magistrate of  our local BK Court District upon succession of the trial ask if I was in a similar business and offered to look over my marketing pieces, disclosures , agreements as well as answer any questions so an not to end up like the knucklehead she just sent packing...
So I figured why not ask...

Her reply was very simple.....NO I CANNOT RECIEVE A DIME but my clients I do refer (without selling them of course because I am not a lawyer cannot advise them in this way) CAN receive a discount that makes sense for the lawyer allowing me room to fee my clients for a service that DOES NOT conflict with the BK (the tricky part)…

So I interviewed about thirty or so lawyers and found 2 whom were willing to offer their services at deep discount…which they make up in volume as I am working about 50-60 of these montly....

So how do I make out? 
I now provide legitimate service post bankruptcy that otherwise they may have struggled paying for due to high attorney fees, is not in conflict with the BK and actually provided a better all around scenario for the seller/investor and myself…
So out of the entire headache, out came a nice little profit center….

My new porblem is working all the shorts sales timely and effectively..

:mrgreen:

N.A N.A · Answer

T/Y and yes I can hear them clapping  :mrgreen: 
I would have posted up sooner but its hectic out here..
Between trying to make a living, staying legal and overcoming the objections and fears of those whom have been conned, its hectic..

Cheers!  :beer:

Guru_wanna_be

Account Closed · Answer

Thanks for the follow up.

1. Great solution.

2. Even better that you shared it so others can do something similar in their markets.

Well done!

:clap:  :clap:  :clap:

Can you hear the crowd clapping?

John Corey

Account Closed · Answer

I believe you will find the lawyer can not pay you for referrals. Full stop.

You might work with the attorney such that they offer discounted services or other preferred deals that has no specific connection to the business you refer. Do not even try to keep score. Just cooperation that helps you get more deals done with better contracts. True referrals without strings.

John Corey