Million Dollar Business Plan

“Plan your work, work your plan”    “Those who fail to plan, plan to fail”    “Who does not plan long ahead will find trouble at their door”

Follow your plan to reach success

Follow your plan to reach success

With all of the warnings out there about the importance of planning, why is it that so many Realtors begin their careers and each subsequent year without a specific, measureable, action-focused plan in place?
My guess. . . many people aren’t sure what to include in their plan – where to start. 
 
Session Two – Business Planning and Goals covered the critical areas of a Real Estate business plan, and we boiled it down to number of Listing Appointments and Buyer Appointments needed each week for every individual in class.  We also created our personal Expense plans, as well as our Cost of Sale projections.  The Powerpoint can be found HERE.
To create your own Financial Business Plan, download the calculations sheet HERE and follow the mathmatical signs.  If you are unsure of your conversion ratios, use 85% and 65% as you go down each column (Listings & Buyers) where directed.  More information on this sheet and accompanying documents can be found at www.MillionaireSystems.com.  Once you have your Annual goals, divide by 12 for your Monthly goals and divide again by 4 for Weekly goals.
 
Goal Tracking
Keller Williams Realty provides monthly goal-tracking via our Company Intranet.  Our KW Associates are encouraged to go mykw.kw.com > coaching > goal entry and enter your goals in each of the categories provided.  This information is taken directly from the Financial Business Plan sheet and the web site will compare your goals versus your actuals every month, as well as YTD figures.
 
Time Blocking
Once you know WHAT, you will need to determine WHEN.  The best method for keeping yourself focused on those key activities is Time Blocking.  This method simply allocates a set amount of time in your daily and weekly schedule to work on each of your key activities.
Although there are dozens of activities that are important, I would break it down to 4 main categories.
     1) Plan/Prep Time
     2) Face to Face Time
     3) Education Time
     4) Lead Generation Time
 
Plan/Prep time includes all administrative duties such as data entry, creating presentation packets, maintaining records, etcetera.
Face to Face time is time spent working directly with clients – showing property, listing appointment, price reduction meetings, buyer needs analysis, etcetera.
Education time should be used to take classes (in person or virtual), read up on industry news, preview properties and understand your local market.
Lead Generation time is where you focus on growing your network, communicating with your Sphere Of Influence, prospecting, marketing and follow up.
 
Put it on a calendar
Lead Generation, as the most important activity, should make up 50% of your time allocated to working on your Real Estate business.
Face to Face time should be 20%.
Plan/Prep and Education should be 15% each.
 
For example:  in a 40 hour workweek you would allocate 20 hours for Lead Generation activities, 8 hours for Face to Face time, and 6 hours each to Plan/Prep and Education.  (newer Agents will likely have increased Plan/Prep and Education time and reduced Face to Face time as they build their business)  These are targets to aim for, if your numbers are slightly different it’s probably okay.
Note:  Since we “work to live” rather than “live to work”, make sure you put your personal and family activities on your calendar first!
 
Getting Specific
Now that you have time blocked for generic categories of activities, you should spend time each week (I prefer Monday morning, to get myself focused on the week at hand) allocating specific activites for each time block.  So, for “Education” time you might enter “research single family sales in Farm Area for 3rd Quarter” or “attend Go FAR class.”  Having your calendar filled out with specific activites which are focused on your core business needs will keep the random, unimportant stuff from creeping into your day . . . IF you stick to your schedule.  From time to time changes will need to be made “on the fly” – but remember the golden time blocking rule: “If you erase, you must replace!”
 
How do YOU feel about Time Blocking?  What works best for you and how do you use it to stay focused?
 
Our next session will reveal the key methods of Lead Generation as well as some information that just might shock you!

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