If anyone ever think that starting a business for property is something less appealing than other business, well, you might get mislead by easy money, my friend. Indeed, there are many other business fields that require less financial capital, skill, and a lot of contact, but those kinds of businesses would possibly win you less than what an intriguing and challenging business offers. The real estate business seems to play the big property such as house, apartment, office building, and others which value highly compare to some other trading goods. But you need to also consider the plus and minus especially on how to start a real estate business. If you enjoy being the agent or broker of real estate, shall this article helps you to set the bar and build your own empire of real estate business.
Being a broker and being an agent is different. While being the broker you manage the cash flow, in office management and online marketing, mentoring and monitoring the agents, and require high management skill. Meanwhile being the agent saves you the capital to build an office since broker provides it, you should have a good sales and marketing skill and in some countries your legal permit to run being an agent is by having at least 2 years experience in marketing and sales division in similar business. Now we will come to some tips for broker on how to start a real estate business.
1. Financial Capital for first months of business
When you start a business, you cannot foresee it as it happens in the movie: smiley kind man starting his bakery and all the sudden everyone in town are lining up for the pastries every morning and his business is rocketing in just a few months, unless you are lucky or having mine of gold in the Gold Rush era, it will be a hard in the first few months to start a business. We can say half a year will be the roughest time you will be going through, but after it should at least starting to earn the pennies.
So tighten up your belt and save up your financial capital and spare them on the important sectors of the business. For example office rent, office equipment, office sign, online marketing / website allowance, and insurance, paying your agents, and the same amount every month for the next 6 months.
2. Managing the Permit, License, and Register the business
Every state has different requirements and process in obtaining the license to be a real estate broker, and permit to open a business in the real estate industry. The registration can be a long and frustrating process, yet as long as you follow up the process and fill the form accordingly, it would not cost you must. Normally to register is the biggest spend on a plate, but how to start a real estate business without permit? As for the financial issue, you can team up with some colleagues or friend and family who believe in you and would like to help you out. Remember, every financial help should be noted on the financial proposal so you can manage easily the way to pay back the investment they make or share the profit.
3. Location of Your Office
Let’s be real, how many of you got on the spot offer and interested in the agent, but once they lead you to the office, you suddenly think about backing up and go? The office location and appearance come into the big portion of whether the deal in on or off. If the office is representing the growing and promising business, consumers wouldn’t reconsider the decision, but if your office is located in a less professional area, only one room with not so smiley receptionist, then we wouldn’t be so surprised that the consumers say bye in just few minutes.
4. Website Matters
In this digital era, what is not being sold in internet? Having a professional website would do you a favor on many fields. You can show the professionalism of your business, you can do the online marketing directly to people who visit your page, you will be able to see what the consumer is up about based on the page they look for. Buying a website will be a great deal and maintaining online marketing is one way to break through. How to start a real estate business if you don’t have online website, per say?