Want to know more?   Contact us today.

Think Profit

With another financial year behind us, it’s a good time to ponder: “Are you happy with your profit?

Stating the obvious: Profit is the money you keep after expenses are paid. I’m compelled to mention this because the real estate industry and its systems focus on turnover. Turnover is not profit.

Profit is seldom mentioned in typical real estate training.

So, are you focused on profit? If not, you should be.

There are two ways to increase your profit.

The first is to grow your business – increase income.

Without money, you have no funds to grow your business. Growth needs cash, and if you want to build a winning team, which will give you more profit and more free time, you need money to do so. It is far smarter to grow from profit than it is from borrowings.

My friend, Dave Anderson, author of Up Your Business, says, “You cannot shrink your way to Greatness”.

Building a team requires a foundation of intent and purpose. Set up attraction systems to increase your incoming hiring enquiry. Set up sorting systems to help you determine the winners and eliminate those who won’t make it. Set up training systems to bring out the best in your people, and set up induction systems to get your recruits off to a flying start.

Also set up sales management systems to keep the team focused on results over the long term.

Don’t have those systems? Pittard does. Let me know if we can give you a hand.

The second way to increase your profit is to reduce expenses.

Know your Break Even Point (BEP). How many sales do you require to break even?

Profitable businesses are built on a platform of solid financial foundations. The most fundamental of all financial foundations is to know the point at which all expenses are covered and you begin to make profit.

To maximise your profit, you should do both – increase your income and reduce expenses.

Sometimes leaders are too busy listing and selling to focus on profit. The trouble is, you can be busy bringing income into the business while large sums go out.

It’s like filling a bucket with holes in it: you pour the water in at the top, only to have it leak out at the bottom.

Think profit. May your next financial year be profitable!

Gary Pittard

PS Pittard periodically broadcasts a webcast entitled How To Make Sales In a Tough Market. This webcast is free and designed for agency principals. It is by invitation only, as we cannot accept some agents owing to contractual obligations to our current members. For more information and to check your eligibility, please follow this link.

Recent Articles

Leadership: Not Just Bossing People About

In the 21st century, employees work with leaders, and not for them. "Generational differences have changed the face of employment" says...

Pipeline of Prospects

"The30-Day Rulestates that the prospecting you do in this

Price and Time

In this short sales session, real estate agency profit consultant, Gary Pittard, discusses the danger in allowing sellers to stay on the market ov...

Marketing

When the market turns down many agency leaders wisely cut expenses. But there is a right way and a wrong way to do this. Cut the wrong expenses and yo...

The Forgotten Rookie Syndrome

Many salespeople either become sales managers or move into a leadership role as owners of their own real estate businesses. Gary Pittard, CEO of t...

Hard Tasks Pay

In 30 years I have interviewed countless winners, and have noticed one big difference between winners and their mediocre counterparts: ...

Make the Most of a Golden Opportunity

"This is truly a great career. I wonder how many real estate salespeople actually appreciate the golden opportunity their real estate career offer...

Think Profit

With another financial year behind us, it's a good time to ponder: "Are you happy with your profit?" Stating the obvious: Profit is the mo...

Succession Planning All Talk or All Action

In this short leadership session, real estate agency profit consultant, Gary Pittard, discusses Succession Planning. Many agency leaders talk abou...

Short Attention Spans

A common complaint from leaders is that their salespeople lack focus. It has a been constant theme in my 30 years as a real estate agency profit consu...

Ask for Price Feedback

Property sellers need accurate information from the market if they are to develop an understanding of the correct market price at which their prop...

Hiring Do's and Don'ts (Part 2)

This is a two-part article on the Do's and Dont's of hiring. Last month, we discussed the Hiring Don'ts. This month we look at the Hir...

Want to reach your profit potential? Contact us now.

Pittard


Suite 71, Level 4
330 Wattle Street

Ultimo NSW 2007
Australia


Mailing Address
PO Box 2045
Strawberry Hills NSW 2012


: (02) 8217 8500
Fax: (02) 9281 4198
AUS Free call: 1800 663 600
NZ Free call: 0800 448 065
International: +61 2 8217 8500

: info@pittard.com.au

Contact Us