Licensing & Renewals > Property Management > Opening a Brokerage
Opening a Brokerage
The first step in establishing a brokerage is to identify an individual that is eligible to be licensed with RECA as a broker. Each brokerage must have a broker that has the education and experience qualifications for the brokerage to operate. In order for a brokerage (and any industry members registered with the brokerage) to be authorized to conduct property management activities, its broker needs to be authorized to conduct property management activities.
With respect to experience, industry members wishing to become licensed as a broker must have at least two years of industry experience as a licensed real estate industry member within the past five years. For more information about the qualifications required to become licensed as a real estate broker, please click here.
In order to open a new real estate brokerage, the broker is required to send to RECA the following documents:
A completed Brokerage Licence Application;
A completed Broker Application for Licence and Registration (for those licensing as a broker for the first time) or a completed Broker Application for Registration (for those who are already licensed as a broker);
If the brokerage is a sole proprietor, partnership or limited partnership:
Documents required to be determined by RECA registrar;
If brokerage is a corporation:
certificate of incorporation from Alberta Registries (dated within the past six months);
articles of incorporation for brokerage and any and all corporations that are shareholders (if directors/shareholders are not indicated, RECA requires Corporation/Non-Profit Search or a stamped and certified Director’s Resolution Agreement or Shareholder’s Ledger);
Proof of Trade Name Filing/Certificate of Amendment (if applicable); and,
Confirmation that broker has controlling interest (minimum 51 per cent) of the corporation. If not, RECA requires a Broker of Record Agreement between the owner(s) and the Broker of Record giving authority to carry out the duties and responsibilities under the Real Estate Act as per question #21 on the brokerage licence application.
Letter from a financial institution in Alberta on the financial institution’s letterhead with an initialed teller’s stamp indicating transit, institution and account number of trust account (s) [if the real estate brokerage will not be receiving funds on behalf of clients or investors, or funds as or on account of commission or other remuneration for a trade in real estate that is to be shared between brokerages, it does not need to open a trust account];
An original associate/associate broker registration cancellation form if the broker applicant is currently registered with a brokerage;
Confirmation of zoning for business address, such as: Business Licence, Business Permit, Home Occupation/Class 1 Permit, Lease Agreement with confirmation of zoning, and/or a Zoning Certificate;
If brokerage is a franchise, copy of Franchise Agreement;
Any additional or relevant documentation to support a “YES” answer(s) on any of the completed RECA application forms; and,
Following RECA’s receipt of the above items, RECA will forward to the broker applicant a copy of the RECA Online Electronic Filer Agreement and a copy of the RECA Online Manual (RECA Online is RECA’s online licensing system). The broker must sign the Electronic Filer Agreement and the last page of the RECA Online Manual and forward both documents to RECA.
Following RECA’s receipt of all of the above documents, the broker is ready to officially open the brokerage. If brokers have any questions throughout the process, they are encouraged to contact RECA’s licensing department at (403) 228-2954 or toll-free in Alberta at 1-888-425-2754.
