i would look into a franchise zephyr. Why reinvent the wheel. Franchises are so cheap now that you can start off running rather than start off stumbling over yourself trying to reinvent the wheel

The real problem is agents who become broker beleive getting all these agents in will make them alot of money. You bring in alot but alot also goes out as well. Did you know new brokerage start ups have a higher failure rate than 1st year agents???

It's kind of like everyone says go to college. I know many millionaires who never finished college and didn't want to be stuck in a box. Personally what I do is my investment deals and my goal is to eventually have an ownership stake in a shopping center with a big anchor and work up from there.

You have to decide if you want a bunch of agents and problems or do you want to run your brokerage a different way.

VM Group, do you have an assistant that handles the paperwork or reviews files for your agents? I'm considering a model similar to yours, only possibly have virtual offices for agents to take clients.

Right now I handle mostly REO's and I have an assistant who handles most of the paperwork and we still get buried! Any information would be helpful

Thanks

I would not work for a brokerage based in home and I don't the aggressive split is the most important for agents. It is importnat what structure you will have, training and support.......here is the key SUPPORT. It depends what people mean under support, think about that.

Some people do not need support. For established agents who have a good sphere of influence they do not need a name brand like Coldwell Banker or Re/max.

I do not see the benefit of giving any percentage of my commissions when I did all the work in acquiring the lead.

Just my 2 cents.

I think it depends on the type of agents you intend to appeal to. Some agents need an office to go to for the "socialization" with other agents. Other agents are fine working from home with minimal interaction. If you can appeal to the latter type of agent, you will do fine.

Agree 100% with ya Mr. L

I offer both in my brokerage. I offer 100% and splits. So far no one has taken me up on the 100%. I supply all the leads to the split people.

WOW! "I supply all the leads ..... "; I guess they don't generate any business for themselves!?

Associations may be a good avenue to explore. These organizations will address many of the thoughts, questions and concerns you'll inevitably have as well as many you haven't anticipated yet. See the source box for some relevant links.
Research, research, research – this cannot be stressed enough. Read as much as you can about the industry. Here are some book titles that are relevant:
* Start Your Own Freight Brokerage Business by Entrepreneur Press
* A Practical Guide to Transportation and Logistics by Michael B. Stroh
I also posted links to some free articles in the source box.
Hope that helps! I wish you much success & happiness in all your ventures.......!

What are the conditions for 100%??

I think brokers are seeing opening offices as the next logical step.


The sad truth is it's kind of the myth of rehabbing properties wil make you rich.There are a few who do awesome and most scrape by.

If you are going to open your own brokerage I would strongly recommend using it as an investment tool. In other words buy an office building and use one level and rent out the rest. Use other people to pay off your assett and take depreciation.

Another option is buy an older house on high traffic road frontage and put your real estate office there.You will get high traffic and exposure.It's like using a house for a billboard (attorneys love to do this).The more level the land is and the bigger the lot that comes with the property the better.

Example you buy an old 1950's house and renovate it for your office.The road count is 12,000 cars per day according to the DOT. Fast forward 5 years later and development is ongoing and everyone and there brother owns a real estate company.You just aren't making the margins you use to.The traffic count has increased to 21,000 cars per day and commercial is popping up everywhere.

Now the house you bought for 150k on 3 acres you can sell for 700k now to a developer.

You have to always have multiple exit strategies and ways to profit from your investment to stay ahead of the game.

How do you know where the future growth is going? Easy look at the master land use and future growth maps and projects going in or rumored down the pipeline.Future road widening and DOT projects is a key indiciator as with the widening they expect that road to become a big artery in the future.


Sorry for the ramble but I LOVE investing in real estate!