R.A.M.P. Up Your Commercial Brokerage Business – Live at NARdiGras
Commercial real estate brokers come from many backgrounds, markets and specialties, but the one thing that unites them all is the desire for increased income. Enter Rod Santomassimo, CCIM whose Massimo Group consults and educates CRE pros in how to do just that. Leading this morning’s session in New Orleans, Rod spelled out a time-shortened version of the four parts of his RAMP methodology to build a commercial broker’s income. A few key takeaways are listed below:
R for Role: In his consultancy, Rod takes clients through a series of individual audits, the first of which concerns what role a CRE pro has. For commercial brokers, this reveals and measures the individual’s effectiveness level in the seven essential tasks: generate business, database development/CRM, leverage relationships, prospecting, client activity, and new listings.
- A for Area: Here, Rod counseled knowing the area’s geography, economic factors, employment, vacancy rates, absorption, and your market makers. Special mention was given to Globe Street’s NYC market expert, Bob Nagle (spelling?). Santomassimo also counseled identifying your specialty, knwing the area’s economic drivers inside and out, and to pay particular attention to your area’s educational institutions as the education sector enjoys a nationwide expansion.
M for Monetary: Rod asked: “Do you charge a fee for your services, and if not, why not?”, pointing out that there was no law that said commissions were the only means to generate income on a deal. If you perform financial analysis for a client, should it be free?
Rod also advocated researching your own business history to uncover major revelations about your business. He recommended 1) maintaining a spreadsheet containing every one of your deals with columns tracking each deal’s client name, property type, transaction type, year completed, commission received, and source of lead. 2) Using Excel’s Pivot Table feature (explained here) to make the spreadsheet show you the previously hidden combinations of details that are the most profitable.
P for Presence: Singling out CommercialSource.com’s guest blogger Duke Long, for efforts in blogging and building an online presence, among other tips, Rod counseled that “invisibility is a fate worse than failure”
Supporting materials from this presentation are available from Massimo Group’s website here.