How to open a real estate agency
Now more and more people are willing to work for themselves. Many are convinced that only own business will help to become financially independent and bring high material income. One of the options for starting your own business is a real estate agency. This business is fraught with certain risks, and therefore not everyone dares to start it. However, it was and remains one of the most attractive in terms of prospects and profitability.
At the initial stage of a business, there are always questions that worry the entrepreneur and even inspire some uncertainty about whether he is doing the right thing. “Is it profitable to open a real estate agency?”, “How to start a real estate business?”, “How not to burn out at the very beginning?” And many others. If you want to open a real estate agency, it is important to immediately tune in to serious work and explore the many features and nuances of this case. In our article we will try to highlight the basic information that is needed by a new entrepreneur in this branch of business.
Real estate agency as a business
Starting a real estate business to a person unaware of all the subtleties is a rather risky step. Most often, the leaders of such companies are former real estate agents. However, if you are not such, but you want to open a real estate office, you should put even greater emphasis on a preliminary study of the nuances of this sphere. First of all, you need to understand for yourself what exactly you will do, what services your company will provide, and clearly define the main tasks to be performed in the first stages.
The first six months, a lot of financial resources and your strength will be spent on promoting a new company and gaining a certain popularity. Most often, it is this period that determines the future life of the company. If an entrepreneur starts up competently, then the business will have all the chances for further success and development. The wrong actions at the very beginning can put an end to business, which has not even really begun yet.
You should not immediately think about profits – the first months of work should be mainly aimed at organizing the work of all departments of the company and developing the customer base. If you are a budding entrepreneur, then it will be extremely important for you to have competent specialists in your company who know and understand the mechanisms of the real estate market. At a minimum, you need a person who understands the principles of real estate lending, as well as an advertiser (preferably, having experience with real estate).
Services that can provide real estate agency:
1. Purchase and sale of housing (apartments, houses, rooms);
2. Work with country real estate;
3. Work with commercial real estate;
4. Rental of premises and housing.
5. Participation in the construction of real estate.
The list can be continued with several items, however, the above services are the most common and the most “cash”.
Documents for registration
First of all, you need to register the company as a limited liability company, or as an individual entrepreneur. For individual cases, other forms of activity are possible, but it is these types of enterprises that are best suited for running this business. Before you can legally begin your real estate business, you need to go through the process of registering a company.
Basic documents required for opening a real estate agency:
Application for opening a new company;
Application for TIN;
Certificate of state duty payment;
Certificate of the seal order of the company.
If the source of financing your business is a bank loan, then to obtain it you also need to provide a business plan for the future company. It is worth noting that banks very rarely agree to issue a loan for the opening of real estate agencies because of the volatility and the rapid change in trends in this market. You either have to possess the brilliant gift of persuasion, or still plan your business, relying only on your own cash savings.
Choosing the location and design of the office
Your company should certainly be located in a public place. If you plan to work in all areas of the city, it is best to look for a place as close as possible to the center. In another case, well-populated sleeping area.
If you use your own premises instead of rented as an office, you automatically increase the prestige of your company in the eyes of customers and competitors. Real estate agency in a rented office – this is undignified. In the premises, which is owned by the company, you can make repairs and design at will, but most importantly – you open up new opportunities in terms of attracting investors.
The interior of the office should be kept in the most businesslike style, the presence of a quality sign with the name is also required.