I recently hosted a webinar where I shared how I built and sold my business. I explained how I incorporated the 3 Key Economic Moats and separated myself from all of the agents in my marketplace.
With today’s crazy economy, it makes a lot of sense for real estate agents to think very hard about their businesses. You either need to make some radical changes or you need to get out of the business. I recently asked real estate agents what they would do if lenders stopped offering home mortgages. I mean completely stopped loaning money. One of the agents that responded said: "I would go bankrupt."
If your business couldn’t survive, you’re in trouble.
You need to build your business in such a way that it would survive the worst case scenario. The agent who responded to my question does not have economic moats around his business. He also hasn’t taken the time to add new income streams. Most agents rely 100% on commissions from home sales. This is a very big mistake.
Real estate agents have been caught with their pants down. We simply took the cream off the top over the last few years and thought life would continue in the same fashion forever. Looking back, wouldn’t it have been much better to be diversifying your business away from home sales?
Where is your business vulnerable?
Think about it. I mean really think about it. Now, go to work to reduce this vulnerability. To give you a head start, I recorded the 30 minute webinar referred to in the beginning of this post. In the video I explained how I added the 3 economic moats into my business. I also gave an overview of how I added new income streams into my business.
You can watch this video right now at:
I do not plan on leaving this video live for too long. If you want to watch it, do so soon!
October 16th, 2008 at 6:20 pm
Great Webinar! Took a lot out of it. Is there a way to print the slides or to save a copy so I can listen to over and over to get down all the key ideas. Think its one of those where you can pick up something new everytime.
October 31st, 2008 at 10:44 am
Very good article! Many real estate agents and other professionals have fallen asleep during last years, when housing boom was like golden mine. I think bucket of ice cold water has been already thrown on the US realtors (I have read somewhere that 70% of US realtors are finishing or are close to do it – is it true?). On the other hand, here in Canada many of my colleagues don’t see the situation and still believe it will be possible to do their business in the same way they were used to…
Take care
Elli