KGCI: Real Estate on Air - The Real Reasons Independent Brokerages are Moving to eXp Realty

Episode Date: August 28, 2024

Broker owners usually create their own brokerage because they are stepping out of the business more into a managerial role where they want to create a community of tight-knit agents to be able to scale further. However, being a broker-owner has its own cons as well, as you know. Once you realize that you have to add technology into your business and give that technology to all of your agents, you have to pay for all of the E&O insurance. You have to hope that the training that you're giving them or that you're paying someone else to give them is up to speed quality training, especially during this time with NAR and commissions. You have to worry about retention and that your top agents aren't going to leave you for another brokerage that maybe has a better split or has a better community or whatever it is. You have to continue recruiting agents in order to continue growing the business. You have to pay for the overhead of the brick and mortar, the building that you're in,

of those expenses. Even after you have all of that set up, sometimes it might feel like you are still hurting cats. Or maybe those agents are great. But after you spend all that time, effort, money into training them, those agents go on to another brokerage. They leave and you have to continue working on recruiting in order to continue matching those numbers. And it's that never-ending game. Well, guess what? A lot of independent brokerages, big and small, are moving over to EXP, or rather partnering with EXP because they realize that instead of just being one level deep where you are recruiting all the agents, maybe some are leaving, you have to recruit more top talent in order to continue with the sales volume that you were at. Now you're no longer stuck at just that one level.

Now you can have those agents attract other top talent agents all the way seven levels deep. A lot of brokers have so much pride with good reason because you built an outstanding brokerage with your logo, your company, your name, whatever it is, you're not losing any of that with EXP. Partnering with EXP is purely additive. You are not giving up your logo, you are not giving up your team, you're not giving up your processes. Instead, you're able to plug and play with the systems that EXP already offers. You know how you're probably the main person that people come to you right now for important questions? The hey, do you have a second? Or hey, can I just have a minute of your time? I have a quick question for you. All of those questions.

those broker questions when you partner with EXP are now the brokers questions and EXP has multiple brokers in each state all 50 states and in Canada we're actually in multiple countries so all of those questions that is exactly what the broker team in each state is there to do they're there to answer those questions from your agents so what if you were to outsource that for free because that's at no cost to you what if you no longer needed to pay for Tom Ferry coaching or Brian Bufini coaching or maybe any other coaching course that you take for your brokerage in order for those agents to get fire, you know, under their butt and get like a pep in their step

and make those calls? What if you no longer needed to have and pay for that? What if instead, you just utilize the 60 hours of training that EXP already offers all agents? What if for every brand new agent that you had, you or a team leader no longer had to be that one-on-one mentor, that team leader can focus on other things in their business. You can focus on whatever you want to focus on. What if that new agent had a one-on-one individual mentor for the first three transactions so that way they could get the steps and the reps

and know exactly what it's like to do their first three transactions at no cost to you? What if you stopped risking your livelihood, your reputation on every new agent that you attracted to your brokerage, hoping that they don't make a mistake, wondering how bad it's going to hurt, if that agent ever messes up, again, especially now with the NAR and the commission rules, what if you pass on all of that liability to EXP? What if I told you each agent was paying for their

own E&O insurance? You no longer have to pay for the E&O insurance for your entire brokerage. How much money would that save you? What if you could expand past your city, past your county, past your state? What if you could expand into another country without you needing to worry about all the specifics of that country because that broker will take care of all those questions. Because EXP has trainings 60 hours a week for those agents in other countries to learn how to sell real estate. You no longer have to be geographically restricted. And instead of having to franchise, you can just expand globally. What if instead of having to change your splits with each new agent coming in, or instead of restructuring all of your splits with your entire brokerage,

What if you instead kept the splits that you prefer, so it's a win for you and also it's a win for your agents, because now they have the ability to get stocks and ownership in the brokerage and revenue share. So it's a win for them too. At no cost to you. None of this coming out of your pocket. What if the rock star agents that you typically see moving on to other brokerages, what if they stayed with you? And what if they brought on other rock star agents and you made money from that? And your rock star agent made money from other rock stars that they brought in.

That's what the revenue share is all about. What is your current exit strategy or retirement plan? Because a lot of broker owners right now are thinking, especially now with the downturn, with the interest rates, with the NAR, they're thinking that they got in pretty much to also get out. But now they're in the business and they've just bought themselves a job. What kind of retirement plan are you offering those agents? Are you offering your agents a retirement plan and exit strategy? Now this is a question that's going to be diving deep into how selfless you are.

Do you want your agents to retire? Do you just want them working forever? There is a way for this to be a win-win, and that is partnering with EXP. This is what's going to happen if you come over. You will have zero liability. Again, each agent pays for their own E&O insurance. You will have zero payroll because EXP has all those divisions that have it taken care of for you already. They've done it time and time again with other independent brokerages large and small,

that move over to EXP. You can move out of production entirely this time. You no longer have to answer the, hey, do you have SEC calls? You can strictly just work on your company culture or the revenue share, whatever it is you wanna do. You don't have to manage everybody anymore. You keep your logo, you keep your team. If you need a conference room,

you can go ahead and just use one of the ones that Regis has, which is the EXP partner. You keep your top agents from leaving you. They too can make stocks, they too can make revenue share. It's a win-win for everyone. And you look like a hero to them because you gave them an upgrade. If you qualify for something called the Boost Program, if you have a brokerage of 50 agents, 50 or more,

that has done over $100 million in sales volume in the last 12 months, reach out to me. Even if you haven't, maybe you're close to that, or maybe you're not close to that. Reach out to me. Let's schedule a call. It'll be myself on the call, you on the call, as well as a partner that I have in EXP that has been in your position before.

She switched. She moved her entire, independent brokerage over to EXP, she'll tell you exactly what's going to happen, what you can expect, and how this will help alleviate the pressure of the downturn of the market for you and your agents. Book a call with me. The link is below. I'll see you there.