Year’s end is an opportune time to review, reassess, and revise your business plan, which you must have to succeed in the real estate profession.
If you don’t have a personalized and written business plan, it’s time to create one (your New Year’s resolution) because a business plan will give you direction, eliminate the stress of trying to remember and juggle a massive amount of information, and enable you to compare your performance against your plan and make necessary revisions.
The four steps to revising your business plan are the similar to the steps you used to develop your business plan – assessing income needs, converting income needs to sales goals, translating prospecting initiatives to sales goals, and creating an action plan.
Step 1: (Re)assess your income needs
Review the list of your living and business expenses to determine how much income you will need to generate annually. Living expenses include housing (rent/mortgage, heating, hydro, water), food, clothing, and medical/health coverage. Business expenses include registration/insurance fees, transportation, marketing, and income taxes.
Determine if you need to re-assess your income needs because of increased living and business expenses?
Step 2: Convert income needs to sales goals
Estimate how many properties you will need to sell in one year to meet your financial goal. Try to ensure the number of properties you will need to sell is realistic.
Step 3: Translate prospecting initiatives into sales goals
Assess the prospecting methods you used to locate potential buyers and sellers. Do you enjoy doing these prospecting methods? Are you good at them? Are they working for you? If you answered no, consider selecting a different type of prospecting. Also determine what level of activity or work initiative will result in a sale.
Step 4: Create an action plan
Once again, create a detailed list of items you must do every day, and do them. Keep track of your activities so you can compare what you have done with what you planned to do. Keeping track of activities will allow to analyze what worked and did not work and to make the necessary revisions.
Consider the following when creating your action plan:
• how many prospecting calls you will make per day
• how many leads/referrals you will obtain per week
• how many listing and buyer representation agreements you will obtain per month
• how many transactions you will attempt to complete for the year
Mentoring Kit for New Salespeople: Training for Success – http://bit.ly/1CvaJrh
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