US HB7187

Amends the Securities Exchange Act of 1934 to exempt "personal services entities" owned by registered representatives from being classified as brokers when receiving compensation on behalf of the representative

Personal services entities must meet specific conditions for the exemption, including: the broker must approve payment amounts and timing, the entity cannot hold itself out as a broker or engage in broker/dealer activity, and a written agreement must govern the relationship

Ownership of the personal services entity is restricted to the registered representative, their immediate family members (spouse, child, parent, siblings, grandparents, grandchildren, step-relatives), or entities wholly owned by these individuals

Exempt personal services entities must maintain and make available to the SEC and applicable self-regulatory organizations all books and records necessary to demonstrate continued compliance with the exemption requirements

Takes effect 180 days after enactment