05 Jun Is it Time?
A recently released IbisWorld report was issued on the business brokerage industry. We will be doing a ”report on the report” in an upcoming issue. However a statistic contained in the report was interesting and unfortunately we believe is accurate. Approximately 40 percent of business brokerage firms are sole practitioners (SPs). I think that percentage may be on the low side of reality.
We can tell from our activity that business is picking up and also that there is more interest from people considering going into the business. This certainly is positive news. We suspect that most of the SPs work from what is called a home office. It may be time for some of the sole practitioners to consider opening a real business brokerage office. Why? Let me count the reasons:
- The more agents, the more activity; and activity creates deals.
- The more agents, the more listings, the more deals.
- You can invite buyers into an office. It’s tough to invite them to your house.
- An office separates work from home.
- Agents will create more activity, thus creating more deals.
- Buyers are impressed when they come into a busy office.
- It is difficult to recruit agents from a home office.
- You really need to build a business.
- And on and on!
We could list a lot more, but you probably get the point by now. Yes, you need to rent space, buy some furniture, do some decorating, but it will pay off. You have to recruit agents – always an issue. You probably have to go thorough 2 or 3 to get 1. I always had 4 to 6 or more agents. Recruiting was always an issue, but the end results paid off. Working in a sales business by oneself has to be a tough way to go. I never did it. I always liked working with other people.
At least give it a thought. Remember the more listings you have to show potential buyers, the more deals you will make. I think it’s time!
