In order to successfully manage a successful real estate business, a smart investor needs a good power team for help and support. A power team is group of people with complementary professions working together with the same clients without taking business away from each other. One of the biggest mistakes rookie investors make is thinking that they have to do things themselves at the beginning of their career and build a power team later when they are successful. Working hard is not enough. It’s time to work smart!
There are plenty of reasons why good teamwork is vital to a business. Not only does it get work done on time, it also gets the job done well. Here are the top 5 reasons why investors should consider being part of a great power team.
Your power team can help you find deals.
In real estate investing, it is important that you find deals — most of which you will get from referrals. Referrals can easily come your way if you’ve made a strong working relationship with people in the same business industry. Sending referrals to your other team members can help you establish a good working connection with them and will make them want to help you in return by referring you to clients who might be in need of your services. Take for example, an events coordinator referring a client to a good florist and caterer on her power team. Of course, the florist or the caterer will also recommend the events coordinator to clients in need of one.
Your power team can help you set up business.
According to experts, when setting up a business you might want to consider employing the help of people who can advise and help you set up and run your real estate business. These are people who are professionals in their own fields like accountants, lawyers, and computer consultants who could do a better job that you would. To illustrate, if you are a lawyer then you can write all the legal documents of your business yourself; however, you would still need the services of an accountant to help you manage the financial aspect of your business, especially when tax season comes.
Your power team can help you market your business.
In order for you to thrive in this real estate investment business, you will need a good marketing manager. A marketing consultant in your team should be well versed with marketing strategies like online and offline advertising, including speaking engagements, direct mails and promotional pieces, to help you market your business and increase your sales.
Your power team can help you when repairing your properties.
Real estate properties will need on-going maintenance, remodelling, and repairs in order to stay on top of the game. Working regularly with a good and reliable contractor can get the job done faster and at a lower cost. Also, having a trusted contractor on your team will provide practical advice, like where to find supplies and materials at a cheaper cost.
Your power team can help you with financial planning and solving business-related problem.
Let’s face it; there are projects that are just too big for one person to handle. Sometimes it takes a collaborative effort of people who specialize in different areas of the real estate business to find the best solution to a problem. It also matters a lot if the people on your team are experienced and successful in their particular industry. For example, an insurance agent can best help you understand the ins and outs of real estate investing by educating you of your liabilities as an investor and what must be done to protect your investments.
Assembling a power team does not happen overnight. If you want to be part of a real estate power team, join a local REIC to get an idea of what services can be useful in your business.