Ok, so I have owned a brokerage for about a year now. When I started it up, I didn't know which avenue the company would eventually take. I knew I would want to take on agents at some point, but didn't make it an immediate priority.

Over the last year, I have had a bunch of irons in the real estate fire, and recruiting agents seemed to drop down the list. Now I am ready to go forward but I am drawing a blank as to how to proceed.

My product is pretty simple: $500 per transaction/$10k max per year and $55/mo technology. I also am touting an "agent-centric" attitude- agents have a chance to form new policies and partially guide the company.

So far, all I have done is send out emails (to no avail). I have developed a website that shows the details of the commission plan and has a calculator that allows agents to compare their current commission structure to mine (the emails were designed to push traffic toward the website).

Those of you who are successfully recruiting, how are you getting your leads?

I am a pretty dang good salesman, so if they get in front of me, I can paint a great picture. My problem is getting hold of good marketing ideas. Do you guys cold call? Do you do mailers? What has worked best for you?

I recently posted an inquiry about Mike Ferry's recruiting system. Judging from the responses, I have to assume that his recruitment program is not as lucrative as his selling program.

I really need some food for thought on this one. I am behind the eight ball on this aspect of my business and need to start recruiting hot and heavy. So, any advice or resources is genuinely appreciated.

Oh yeah- I know my website is a train wreck. It is being worked on this week.

Thanks again!

I haven't even started taking classes yet (May 30th...yay!!!), but I LOVE your pay structure! I'd definitely come talk with you if you were in the Cleveland area.

In the meantime, do you have a Real Estate school nearby (in Atlanta, I'm sure there is)? The one here recently had a career night, and there were tables set up for local Brokers to 'hawk their wares', so to speak. I talked with a small broker, a rep from Keller Williams, and one from Real Living-Realty One. There were more, but time was limited for me.

Anyway, that's one way...or how about talking with the instructors at your local community college (that's where I'll be taking my classes). Maybe you could give them packages or flyers for your brokerage. Those trainees are going to need to go somewhere...and soon!

Or visit some Open Houses on Sunday? See how the agents conduct themselves, and market to those you'd like to come on board with you.

Just some thoughts.

Good luck!!

I've done my own career nights together with a few vendors and split the cost of advertising.
I get a lot of referrals of people interested in entering the industry.
I give talks for the chamber of commerce, other business groups and Realtor groups about working by referral.
Most of the time someone in the class comes up and says that they know a Realtor that could really benefit from my training program.
If you're meeting a need and talking to people about it, you'llget some business.
What need are you meeting? What really serious need that people are FEELING... ouch... can you fix?

just to give an idea. the brokerage i am at cost 5400 a year to be at 100% and a $200 transaction/admin fee.

yours sounds good. higher transaction fee, but no monthly. you will draw alot of agents, hte only question is are they productive. they have nothing to loose if htey dont sell a house that month, except $55.

Greg,

How many agents do you have now?

It will be tough now.There are many companies following http://www.solidsourcerealty.com model.Back when I joined 2 years ago there were only about 150 agents now we are approaching 1,500.
With only 45.00 a month and 300 trans fee it is hard to beat.She offers offices,computers,printers,broker support,free training.How she did it was to invite everyone to a free food seminar or a training program and then you would here the spiel at the end.

Unless the are supplying leads big brokerages taking big splits from agents will be diminishing heavily.We are now seeing the big guys Prudential,Re/Max etc. touting the 100 percent plans.

What you want is to market to top producers,give them a special deal to bring in there team along with them and this will make your company grow.You also need someone who has ran a brokerage before to be your vp,Michelle with Solid Source has one and it is critical you cannot do everything yourself.

good luck

as a previous SM at a local ReMax, review your benifits, why would an agent want to work 4 me? all recent studies indicate that money is not the #1 reason agents change offices. the number one reason today is "office culture" money is second. look at recruting agents that sell 25 to 50 homes a year ask them why they are working at their current office and what exactly would make them think of leaving.print out the MLS profile and call them during the day on their cell and say we need to talk not now but......all you need to hire is 3 med producers that are respected by their peers. then offer a referral fee when they bring someone else on board.ask them who they would like to work with. timeing is everything. keep the door open and when that agents broker pis**** him /her off they will call you . never interview an agent with out asking them, who else do you know that would like my program?....and call them right away good luck....

Err, I'd lose a lot - like groceries, gas money, e-key fee money...etc. My motivation is to survive. lol

The economic situation is not too bad to have a goal just to suvive:-)

Greg
before you do what so many independent brokers do out there and just throw out a commission structure, I would suggest (strongly)to do a business plan with at least a three year business model. i cant imagine where a commission structure like yours would work unless your housing hundreds of agents for meager pay. That is the very reason why so many independent brokerages last less than 5 years. They make this ridiculous commission struture then all these agents will flock to you, which sounds great, but they are only there becuase you are the lowest priced around. Then, when problems arise (lawsuit threats, etc), you are left with about $800 bucks in the bank to defend yourself. Guess what, when your agent screws up YOUR responsible and your license is at stake. Take a lesson from the large franchise companies, and plan your business correctly

As an agent who was shopping for a broker here is what draws me in.

A free dinner with prizes. Most prizes were donated by lenders, title co's etc. It was a great dinner, free drinks, and lasted until 10pm. It cost the broker alot. Turnout was around 80 agents, very few drank. I knew I was not joining this firm, but i'm game for free drinks and a steak dinner. The broker did the research on me from the RSVP and ensured I had some take homes for the kids.

Very little was said about recruiting. Other agents from the company were on hand to answer questions, follow up calls were made. I met with the borker and thats when the "sell" was made. If I decide to change brokerages he is on the top of my list, He just cant beat what I have now.

I never would have talked to this broker without that dinner. I will sit with anyone one though if the dinner and drinks are paid for.

I also had brokers tell me, Our goals and plans do not match, thanks for meeting with us and we walked away (I do REO and investment props though).

A free steak dinner and a few drinks did not result in my joining the firm. The broker still talks to me, we have done a couple deals, I like him, just happy where I am at. not ready to move. When I am, he will be on the top of the list.

Commission struture is the least of the concern and not a draw, to me. It could be to new agents. New agents have no clients though. Work on the experienced agent with results, recruit them.......go from there.

VM Group,

That's an interesting response from you based on your business model of giving agents 100%... have you run into problems? Is your company profitable?

Awhile back you talked about franchising... how did that work out for you?

"broker"
a 100% commission model works if you do it right. I spent many thousands of dollars consulting many professionals and consultants to create a solid strategic plan. Too many brokers are just getting a business license and throwing commission structures out there that dont make sense and dont hold up. Our franchise license is expected in June, thanks for asking.