Commission Sharing Program

Subject to entering into a formal agreement with a Cooperating Broker, the following fee sharing options are available (payment only upon closing of financing; the paragraphs are taken from the Cooperating Broker Agreement):

A. Pre-Qualified Referral Fee: where the Broker provides an introduction only, the Broker will (upon closing) receive a minimum of $500, or 1/10^th of 1 percent of loan amount, whichever is greater (requires completed pre-qualification questionnaire, as posted on the LOF web site).

B. Pre-Qualified Referral Fee with Agreement: where the Broker provides both an introduction and a completed Commercial Mortgage Agency Agreement, the Broker will (upon closing) receive $1,000 or 2/10^th of 1 percent of loan amount for the first million, whichever is greater, and 2.5/10^th of 1 percent of any amount above one million (requires completed pre-qualification questionnaire and broker agreement, as posted on the LOF web site).

C. Producer’s Fee with Full Client Service: where the Broker (1) provides both an introduction and a completed Commercial Mortgage Agency Agreement and (2) provides ongoing contact and oversight with the client, the Broker will (upon closing) receive One-Half of the Mortgage Broker Fee as set forth in the LOF standard Commercial Mortgage Agency Agreement with the Client, as posted on the LOF website (requires completed pre-qualification questionnaire and broker agreement, as posted on the LOF web site, completed lender requirements and attending the closing on behalf of LOF; LOF will provide reasonable logistics and support during each step in the financing process).

D. Cooperating Broker Override Fee: where the Broker introduces LOF, in writing, to another broker who enters into a Cooperating Broker Agreement, LOF agrees to pay Broker an Override Fee equal to from fifteen (15) through five (5) percent of the fee collected (15% - first level, 10% - second level and 5% - third level).

The qualifications for each level are as follows:

A. One-Tenth - (1) Cooperating Broker Agreement between Broker and LOF and (2) Completed Pre-Qualification Questionnaire from Client.

B. Two-Tenths - (1) Cooperating Broker Agreement between Broker and LOF, (2) Completed Pre-Qualification Questionnaire from Client and (3) a completed and executed Commercial Mortgage Agency Agreement between Client and LOF.

C. One-Half - (1) Cooperating Broker Agreement between Broker and LOF, (2) Completed Pre-Qualification Questionnaire from Client and (3) a completed and executed Commercial Mortgage Agency Agreement between Client and LOF

D. Override - (1) Cooperating Broker Agreement between Broker and LOF, (2) a letter of introduction from each Broker to the subsequent Second, Third or Fourth Level Broker and (3) Cooperating Broker Agreement between each subsequent broker and LOF.

Example: Say we have a deal with a $10,000 fee and the Cooperating Broker qualifies for the top level, one half the total fee. That broker gets $5,000 (50%). If he/she is the Fourth Level, his/her Third level gets $750 (15% of the Cooperating Broker fee), his/her Second gets $500 (10%) and his First level gets $250 (5%). LOF gets the balance, about 35% of the total.

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