With the market as slow as it is right now, it is best to keep your monthly overhead low.  Monthly fees are tough to pay each month. 

Dave,  I have to agree that some times it is nice to get you split and let someone else take care of the bills.  I prefer a simple split though.  Filling out some of the paperwork to get paid iswith some companies can be ridiculous.

Dave, I left a RE/MAX to start my own company and since I work out of a home office my overhead is really low.  It was a huge raise for me.

Those monthly fees and transaction fees that you end up paying to big brokerages end up making your split around 25% anyway. Why not start at 25% and not have to pay those monthly fees when you don't have any income. Great post and thought

25%? You have got to be kidding.. How do you make $82000 at 25%? At let's say $200,000 average sale times 2.5 percent commission times 25% equals $1250 per transaction.  You would have to sell 75 homes a year. The least I ever hear was a 50-50 split with a 6 percent marketing fee. I do agree however with the so called 100 percent and then pay all your expenses.

Interesting post.  I currently work for a company that gives 100%, less franchise fees and a transaction fee; but all expenses are mine.   I work out of my home office, so overhead is fairly low; but sometimes I wonder if it's the right business model for me.   You definitely gave me some things to think about.

Well I think alot of it has to do with how much your montly fee is and your expenses are, Plus how many homes do you have to sale to make it profitable---Bart

Teri, yes, it does cause you to think.  I know of people making almost 180k a year on that split.  The key is not to focus on your split...but to focus on your result of the split.  :)

It all depends on where you want to be as the boss of your own future. The split not the thing your path to your sucess is the thing and it isn't always more money it may be more value.