Is a team right for your real estate business?
In today’s rapidly changing real estate landscape, it’s critical to assess whether your current business structure is helping you thrive. “Million Dollar Listing Los Angeles” and luxury real estate duo James Harris and David Parnes explain how to determine if a team is right for you and when is the right time to act.
Looking for more advice? Discover Inman New Essential Agents.
The perfect blend of British style and American vibrancy, David Parnes and James Harris bring their charisma, intelligence and wit to the agency as business partners specializing in high-end residential property and investment properties in the greater Los Angeles area.
In today’s rapidly changing real estate landscape, it’s important to assess whether your current business structure is helping you thrive. New agents are probably wondering if joining an established team is right for them. Others might consider starting a team with a like-minded colleague or continuing to move forward as an independent agent.
Our team is our backbone and the expertise, skills and talents of each allow us to attract more customers every year. That said, agents need to think about what makes sense for their individual business. We’ve outlined some things to consider for your business to thrive, with or without a team.
Team structure and expenses
Think about your business structure and where you might need help. When we put together our team, we considered our needs, the type of role and who might be the best candidate for the position.
For example, our team structure includes someone who manages listings, escrows, a marketing manager who manages our marketing and social media platforms, a team member who manages screenings, a digital expert who produces our newsletter, and more.
Get an overview of all facets of your business and assess whether or not you need additional support. Consider which areas you could complete more and how a team could generate more business or hinder it.
While a team can provide access to a wealth of experience and knowledge, agents who run a lean and medium operation also have advantages. A smaller operation can mean less expenses, salaries, commission splits and overhead. Everyone gets a share of the commission when an entire team handles each trade. Do the math and see if it pays off.
Consider whether joining or creating a team will help scale your business or cause more expense. Determine the structure that will benefit your growing business and guide your growth.
One of the positive aspects of being part of a team is to learn from a wide range of professionals and develop the expertise of agents established in the company. Many new Agents will have the opportunity to develop skills faster than trying to learn independently.
Working closely with a team of highly qualified professionals will help you improve your knowledge. You will be exposed to different ways of thinking and learn from others about problem solving approaches. A dynamic environment can help new agents improve quickly and expand their skill set.
That said, there are also plenty of resources, courses, and other ways for individual agents to develop their skills and training on their own. I’ve found that some of the best ways to learn and grow are to wear many hats and learn as you go.
As an individual agent, you have the opportunity to become an expert in any area of the business, and you can always tap into the resources of your network, community, and brokerage group.
Consider the personalities
While group collaboration can be great, another thing to consider is that certain personalities don’t always work well together. Although we like to work as a team and have been friends since childhood, one of the positive aspects of working individually is that your client can always be your main focus and you build a very strong one-on-one relationship. .
When considering forming a team, be sure to join a group where the personalities will work well together and where you can collectively solve any problem. It can be stressful working with different people in close proximity every day, so choose your team wisely.
imagine the future
When considering partnering with another agent or going solo, consider your goals for the next decade and map out any steps or support you may need to get there.
Although we encourage growth within our team, we always want our colleagues to have a vested interest in the role they have been hired for in order to reduce turnover and complex transitions in a short time. No matter what you choose and where you are in your career, both sides have plenty of rewards and benefits.
James Harris is director of The Agency in Los Angeles. Connect with him on Instagram. David Parnes is director of The Agency in Los Angeles. Connect with him on Instagram.