This is the last blog in our series “Overcoming The 5 Biggest Commercial Real Estate Management Challenges” — but it is certainly not the least important.
There is an adage in business that you are either growing, or dying. Odds are that you are not as focused on growing your firm, as you are on growing this year’s income. Are you focused on large-scale growth, though? I’m talking about the big-picture opportunities and changes that can bring your firm and your career to the next level.
Growing Your Business
What other services can your firm offer? If you are a leasing firm, do you have an investment division? If not, why not? After all, your landlord reps already have strong relationships with the owners of buildings. The same applies for property management, mortgage brokerage, and consulting. Here’s another question: Are you strong in every property type, or do you have a gap?
If you have gaps in your product type, service type, or geographical offerings — what is your plan to fill those gaps? Ultimately, there are two ways to do it:
1. Grow your own team
2. Acquire or merge with a complementary firm
Both plans have benefits and drawbacks. If you are considering growing your own team, re-read the first article on Recruiting Challenges. If you are considering going the merger and acquisition route, ask yourself these four questions:
1. Can I get the skills I need by recruiting people from competing firms, instead of merging with them or acquiring them?
2. Will the other firm’s culture match mine?
3. How will I divvy up management duties in the event of a merger?
4. If I’m merging or acquiring to get access to the other firm’s talent, how can I ensure that they stay long enough to help me achieve my goals?
Your Next Step
Without proper management and planning, your business will not only stop growing — but will die quickly. Have you planned for the business after your retirement? If not, one of the best things that you can do is to start to cultivate your own successor.
Identify the leaders in your office who have management and leadership potential. Gradually give them enhanced roles so that you can see how they handle them. This also gives you an opportunity to find out which of them want money to do it, and which do it out of the love for the business. Over time, you will find a person to whom you can hand the reins of the business as you transition into retirement.
Are you looking to get to that next stage? Top producers and leaders never stop growing their personal commercial real estate business. For a free consult on how you can grow yours, click here.