NorWest Business Sales, Mergers & Acquisitions Professional Standards of Practice and Code of Ethics

THE PURPOSE of these Professional Standards is to promote and maintain the highest level of public trust in business brokerage, business consulting and appraisal practices. The establishment of requirements by NorWest Business Sales and Acquisitions and all agents under its authority is to ensure its services are provided in a manner that is meaningful and never misleading.

THESE STANDARDS impose grave social responsibility and patriotic duty to which NorWest Business Sales and Acquisitions dedicates itself. Therefore in recognition and appreciation of its obligations to clients, customers and the public, NorWest continuously strives to become and remain informed on issues affecting their specific area of practice as knowledgeable professional. Hence, NorWest Business Sales and Acquisitions will take steps to identify and enforce these Professional Standards by assisting appropriate regulatory agencies to eliminate practices which may damage the public or which might discredit or bring dishonor to the business brokerage industry.

ACCEPTING these Standards, NorWest Business Sales and Acquisitions pledges to observe its spirit in all of their activities and to conduct business in accordance with the tenets set forth below:


STANDARD OF PRACTICE: NorWest, in accepting employment as an agent, pledges itself to protect and promote the interests of the client. This obligation of absolute loyalty and honest to its client's interest is primary, but it does not relieve the business broker from obligations of dealing fairly with all parties to the transaction.

STANDARD OF PRACTICE: NorWest shall avoid exaggeration, misrepresentation or concealment of pertinent facts relating to the property or transaction. NorWest shall not, however, be obligated to discover latent defects in the property or to advise on matters outside the scope of their license or expertise, or to disclose facts which are confidential under the scope of agency or non-agency relationship as defined by state law.

STANDARD OF PRACTICE: Norwest shall have a responsibility to recommend that clients use attorneys and tax accountants for independent advice on transactions.

STANDARD OF PRACTICE: NorWest shall keep in a special bank account (CTA), separate from its own operating funds, monies coming into its possession in trust for other persons.

STANDARD OF PRACTICE: NorWest shall make a reasonable effort to protect the public and all parties to a transaction against frau, misrepresentation, or unethical practices in the area of business sales and acquisitions.

STANDARD OF PRACTICE: NorWest, for the protection of all parties with whom it deals, should see that financial obligations and commitments regarding business sales and acquisitions of which he/she is a part are in writing, expressing the exact agreement of the parties. NorWest shall see that copies of such agreements are placed the hand of all parties involved.

STANDARD OF PRACTICE: Since NorWest is representing one or another party to a transaction, it shall not accept compensation form more than one party without full knowledge of all parties to the transaction.

STANDARD OF PRACTICE: NorWest shall not serve as both principal and consultant on a transaction unless a full disclosure is made in writing to all principals involved.

STANDARD OF PRACTICE: NorWest when acting as an agent in the management of a business should not accept any commission, rebate, or profit on expenditures made for an owner without the owner's knowledge and consent.

STANDARD OF PRACTICE: NorWest will not undertake to make an appraisal that is outside or beyond the scope of its experience without first obtaining the assistance of an authority on such types of property unless the extent or lack of experience is fully disclosed to the client.

STANDARD OF PRACTICE: NorWest, when making an Opinion of Value or Valuation of said business, should not render an opinion without careful and thorough analysis and interpretation of all market and economic factors affecting the value of the property.

STANDARD OF PRACTICE: NorWest shall not undertake to make an appraisal or render an opinion of value on any property when it has a present or contemplated interest unless such an interest is specifically disclosed in the appraisal when its employment or fee is contingent upon the amount of its appraisal.

STANDARD OF PRACTICE: NorWest should not submit or advertise businesses or acquisitions candidates without authority; in any offerings, the price quoted should not be other than that agreed upon with the owners as the offering price. NorWest should always have written authorization to sell or purchase as the case may be from the prospective seller or purchase. "Said in writing" shall include all the material of the terms of the sale or purchase, including price, term of the agreement, and compensation to be paid to NorWest Business Sales and Acquisitions.

STANDARD OF PRACTICE: NorWest will not submit or advertise businesses without authority; in any offerings. The price quoted should not be other than that agreed upon with the owners as the offering price. NorWest shall always have written authorization to sell or purchase as the case may be from the prospective seller or purchaser. Said in writing shall include all the material of the terms of the sale or purchase, including price, term of the agreement, and compensation to be paid to NorWest.

STANDARD OF PRACTICE: All bona fide written offers will be submitted to the seller. The decision to accept or reject an offer remains with the seller at all times.

STANDARD OF PRACTICE: NorWest will not engage in the practice of disclosing one buyer's offer to another buyer as a sales technique.

STANDARD OF PRACTICE: NorWest will seek no unfair advantage over his/her fellow brokers, and should willingly share with them the lessons of its experience and study.

STANDARD OF PRACTICE: NorWest shall conduct its business in a way that will avoid controversies with its fellow brokers, cooperate with the association and its officers in all matters, including investigations, censure, discipline, or dismissal of members who, by their conduct, prejudice their professional status or the reputation of the association.

STANDARD OF PRACTICE: In the best interest of the association, society, and its associates, NorWest shall be loyal to its community and active in its work.

STANDARD OF PRACTICE: NorWest shall not deny equal professional services to any persons for reasons of race, creed, sex, or country of origin. NorWest shall not be a party to any plan or agreement to discriminate against a person or persons on the basis of race, creed, sex, or country of notional origin.


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