Referral Fee from other inspectors

A friend of mine, also an inspector, wants to “book” an inspection in exchange for a cut. What is reasonable? For example, I am a member of an organization which does the same thing in exchange for other benefits (they do all of the marketing and have some really fair benefits of membership). The company takes responsibility for their bookings, etc. This person wants to do the same at a similar rate, however I can’t identify anything beneficial to this arrangement - other than him receiving a large chunk of the inspection fee. I am trying to figure out what’s reasonable for booking an inspection only. Plus, I will 1099 him this amount.

Secondly, the person asked for a copy of the inspection report so he can forward it to the agent. I am accustomed to giving it to the client and letting the client forward it on. I believe this to be a condition of my E&O and Gen. Liab. insurance.


Why would another inspector want to give you work?

Because he has one scheduled already and rather than let the customer go, he wants to make money off both?

Kind of cold though. I have a couple guys here in the Chicago area that I give referrals to with no compensation required. I just hope they remember me when the time comes! :smiley:

Same here, it’s the only friendly thing to do.