Which real estate brokerage firm should you be working for? In my 20 years of experience in the real estate brokerage business, having done business with countless real estate brokerage firms, I've found that there is only one firm that you or any agent should be working for. No other firm can compare to this one. It's a firm you will feel great pride in working for, knowing that this company supplies you with the resources and tools to be the best agent you can possibly be and serve your clients in the best ways possible. It's a company where you feel great about the office environment you work in, and you are very proud bringing your clients to your office to conduct business with them. The receptionist greets people with a warm smile and makes your clients feel that they are doing business with a warm, professional company that cares about their needs--and they like that. The people who run the company are professional and know exactly what they are doing. And the agents who work for the company are top-notch, the best in the business. You definitely feel you would like to cooperate in doing many transactions with these people. In short, when you are working for this company you feel you are definitely working for the best company in the business.

Does this sound like the company you are working for now? If not, why not? And as you are thinking about the company you are working for now, how well does this company measure-up to the standards and description I just gave you?

If the company you are working for now does not compare to the company I just described to you are, you willing to make a change knowing that it may very well be in your best interest to do so?

If I were to ask you the name of the company in your territory that you feel would best fit the description of the company I just gave you, the name of the company would be <fill in the blank>. Now, is this the company you are working for right now? If so, congratulations, you are in the right place!

As you have probably already figured-out, the real estate brokerage company you should be working for depends on both your market and the specialty you work in as a real estate agent. The truth is that real estate brokerage companies are each unique in their own way, and the company that is definitely where you should be hanging your hat right now also depends on where you are in your career and what you are looking for in the company you will be working for.

If you are just beginning your career, it is very important to pick a company where you will get great training. Ideally you want to work in an environment where you will be rubbing elbows with the top producers in your territory. Why? Because during your first 2-3 years in the business you will be forming the habits you will utilize for the rest of your career. If you learn your habits from the people who are the top producers in your industry you will most likely then duplicate these habits throughout the future of your real estate brokerage career. Ideally, you want to be training with a veteran who produces great results, is ethical, and who is respected by his or her peers in the industry. This person will then teach you what works very effectively from the very beginning, immediately ingraining these habits in you so that you can then apply the information you have learned directly into your own career. This can save you years of anguish and frustration compared to if for example instead you learned from someone who was a mediocre producer and then you began duplicating his or her habits for the rest of your career.

The truth is that you can't learn how to make $500,000.00 a year in real estate brokerage from someone who is making $80,000.00-120,000.00 a year. While the latter person may be working the same number of hours, clearly whatever this person is doing with their time is severely limiting their income. Why not simply make the choice to learn from a top producer and do what they do instead?

After you have been trained in the real estate brokerage business, whether it has been by a top producer or by the seat of your pants on your own, there may come a time when you begin to consider making the move to a different brokerage company. In deciding which company to make the move to there are many factors to consider. First of all ask yourself the question, "What am I looking for in making the move to a new company?" There may be several different reasons for you to consider which can include:

1. The work environment at your existing company has changed. Perhaps many people have left and/or newer people have joined the company and you find that you don't enjoy the people you're working with anymore.
   
2. You feel that by joining a different company you will be more productive and will make more money there. Perhaps you feel you have outgrown your current company and you want to be around a more productive work environment. Maybe you have your eyes on one of the top companies in your territory and you feel that by joining their office you will be around more people who are making bigger deals--ideally resulting in you making bigger deals, too.
   
3. The commission split is more favorable at another company you are considering working for, or you could become a partner there and share in the profits of the company.
   
4. You're frustrated, bored, and want a change.

There are many different reasons why someone would want to make a move to a different brokerage company. What is important is that you carefully evaluate all the options and your reasons for wanting to make a change and make the decision that is best for you.

One thing to carefully evaluate when making your decision is how you feel you will fit in with the culture of the new office. For example, when you've been around people in this prospective new office either socially or when doing deals with them do they seem like people you'd enjoy working around? After all, you will be spending five or more days a week working in and around these people. Doesn't it make sense to know beforehand that you will actually enjoy doing this?

I can speak from my own experience on this one. Several years ago I was looking to make a move to a larger real estate brokerage company. I decided that there were only three companies in my territory that I would consider working for. All three companies were highly respected, each one having been in business for over 70 years. I decided to meet with one of the salespeople I knew in one of these companies to talk with him and get his opinion on what it was like to work for his company. While I was waiting for the salesman to meet me in the reception area of his company's office, his Manager began to walk through the reception area on his way out the door to an appointment. I said, "Hello" to the Manager as he walked past me, and he simply looked me in the eye and then ignored me, not responding to me in any way as he walked past me.

I had just learned all I needed to know about whether or not I wanted to work for this company.

While the Manager and I were only remote acquaintances, I simply could not imagine myself working for someone who treated another person this way--especially a person waiting in the reception area of his own office! A few years later his company's President apparently agreed, stripping the Manager of his title and forcing him to return to full-time sales for the company.

I've told you this story to illustrate a point. Even though you may be considering joining a company because of how dominant they are in your market, you may find yourself feeling miserable if the culture of the office is one that you don't particularly care for. Make sure you consider this before you make your move!

Another reason you may be thinking about changing companies is because you can get a better commission split at the new office. There are many valid reasons for considering this. For example, if you are on a 50% commission split with your office and another company offers you a 60/40 split, your annual income will immediately increase 20% on the same amount of business you are already doing. Continuing with the example, if you currently gross $200,000.00 in commissions and net $100,000.00 to yourself after a 50% split with your office, you will now net $120,000.00 to you while still grossing $200,000.00 in commissions if you make a move to a new office with a 60/40 split. Do you think you could you use an extra $20,000.00 for doing exactly the same amount of business you are doing right now?

If you are currently on a higher split than 50/50 you will still earn more money if you move to a company with a better split, however the percentage difference in your income will be smaller. Still, if you are grossing $500,000.00 or more a year and you can increase your commission split from 60/40 to 70/30 or even 80/20, you're talking about pocketing an additional $50,000.00-$100,000.00 a year based upon the exact same commission you are grossing right now. If this opportunity is available for you right now, you definitely have to take a solid look at it. Of course, if you feel you will lose some of the business you normally produce every year by switching companies you have to consider this when making your decision. Also, if the company you are working for now has a tremendous reputation in your marketplace you have to consider the impact this will have on your business if you move to a smaller, less recognized company. Then again, if you are confident enough in your own sales abilities and you feel that people will want to do business with you regardless of which company you are working for, walking away from the prestigious company in favor of putting more money in your pocket may be the best call.

However, money isn't everything, and again you also need to make sure that you will be happy at the new company you move to. If you're not happy at the new company, this will definitely impact your production and you may just kiss goodbye the additional money that you thought the higher commission split was going to put in your pocket.

For veterans who have been in the business 10-20 years or more you may consider working for a much more entrepreneurial company. Some of the seasoned agents nowadays are getting very creative and are forming their own companies where the profits go directly into their own pockets instead of to administrative salaries or outside shareholders. All decisions for the company are then made by the top agents who own the company. This way, for example, if you have a listing where the anticipated gross commission to the office is $50,000.00, the office can have a policy for you to have a marketing budget of 5% of this amount, or $2,500.00. I used to be President of a brokerage firm that had this policy in place. This really allows for the salespeople to get the financial support they need to move their listings, resulting in more deals closing and more commission revenue for the company. In the long run year after year, everyone in the company benefits.

There are many companies out there who are owned and run by people who are very far removed from the real estate sales process. Some of these people have never sold real estate before in their lives. When this occurs many times the company’s management begins to duplicate what we see all too often in corporate America—the managers get really tight with their marketing budgets in attempts to maximize short-term profits. In turn the salespeople get squeezed and feel like they get very little support from upper management. Then the salespeople begin to wonder what they are really getting in return for the portion of their commission that the company gets. This can then lead to outstanding, quality salespeople beginning to look elsewhere and eventually changing companies.

In choosing the best real estate brokerage company for you to work for many factors are involved in making the right decision. As you begin to evaluate these factors clearly two of your most important goals should be the following:

1. Finding and working for the company where you will maximize the commission you take home in your pocket year after year
2. Finding and working for the company where you will love the work environment, the people, and the support you receive from management

When working for the real estate brokerage company where you are maximizing your accomplishment of both of these goals you feel great knowing that you are solidly in the right place in your real estate career.