Building a top-producing and profitable real estate team is not a simple undertaking. How can you help your team members while growing? Provide them with the tools, systems and protocols they need to succeed with a strong economic model to follow and use as a guiding principle.
Although it’s easy to get caught in the web of additional expenses while building, investing in your team doesn’t have to hurt your business’s bottom line. If you’re looking for tips on creating team profitability, even in a recession, you’ll find them here.
1. Assess cost versus investment
If you’re in a mindset of fear, you will want to cut absolutely every cost out of your budget, and your fear will rationalize every single part of it. Fear will tell you to build a shelter, hide in it, and make sure you stay in there until the sun comes out again.
What you need to do is get to a place where you can look at your finances and clearly see what is a cost and what is an investment in your business.
A cost is something that does not create a return in your business. It’s a deadweight that doesn’t create any significant value for you or your clients, and it’s not strategic.
Investments will always be strategic. They are multipliers. They create a return for your business, whether it’s through leads, return or deals. The return could even be an investment of goodwill to support your community.
The key to cutting costs and low returning investments is clarity.