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Why RE/MAX business model is
better than the normal broker’s
        business model?




                        www.remax-mgm.com
What a normal broker model is?


Invest in office (space and interiors)
Do transactions to earn money
When business grows keep employees
Prefers to keep relatives , friends so there is less or no cheating
Open another branch only if a relative or a very trustworthy
person is available.




                                                            www.remax-mgm.com
Investment in Office

Minimum 500 sq feet office is required
  Either rented or owned
Overheads of running an office
Manpower cost
Other Expenses, like government compliances




                                              www.remax-mgm.com
Transaction Oriented Approach:


In normal broking business, you just do transactions, but not
focus on building relationships. (As the first priority is to run the
office)
No long term vision
No training available on how to increase business
Less technological use
Each office tries to create own brand




                                                             www.remax-mgm.com
High Running cost:


If your business grows , you have to keep more employees –
which are hard to find
By keeping more employees , you are adding cost in your
business
You also need to retain employees by giving them more money
More employees, More Management , More Time, More Cost




                                                     www.remax-mgm.com
Trustworthy Employees:

There is always a risk of cheating in business in real estate
brokerage due to lack of documentation.
A businessman tries to keep known and trustworthy friends and
relatives
It is difficult to get relatives who can be successful brokers




                                                      www.remax-mgm.com
Multi-City Branches

You need a :
  Trustworthy person
  In the city in which you want to open a branch
  Who is willing to start a real estate business
  Wants to work under you
Mostly the relatives lives in same area/city




                                                   www.remax-mgm.com
Why normal brokers are not
                successful?

Not scalable
Revolving door mentality
No viability for branding ,training or technology




                                                    www.remax-mgm.com
Not Scalable


It is difficult for individual to expand the business
Volume of business stays limited due to capacity constraints.
Due to cyclical nature of the industry the broker cannot commit
to high fixed costs




                                                      www.remax-mgm.com
Revolving door mentality


Employees come and the broker trains them
They learn and work for sometime and leave the business when they
become expert
So the broker looses on all the investment he has done on this person.
Moreover, the employee becomes competitor.




                                                       www.remax-mgm.com
No scale for branding


In today’s competitive market advertisement is necessary which is a
costly affair.
If you don’t do advertisement, you don’t do generate enough leads to
stay busy
Each office tries to build its own brand, which takes years.
As all competitors are also doing the same, the cost of advertisement
increases and effectiveness decreases.
No scale for training


Training requires a class full of students and a trainer
With 3 employees, the broker doesn’t have any scale for training
No ready made courses are available for the broker to send his
employees to.
Moreover good employees don’t join the broker and he has to
get fresher's or people outside industry
Customers on other hand demand best service, which requires
more training to employee
No scale of technology


Website and software needs to be made to market the listing
online.
However a small office doesn’t have financial or technical
resources to do all that
Technology is required to make employees more productive.
Without technology, employees do less work in more time,
which hinders the office growth
How to grow?


The broker can break the vicious cycle by joining hands with
RE/MAX, the worlds most productive work force of real estate
broking.
About RE/MAX


World’s leading real estate network.
Presence in 91 countries & nearly 7000 franchised office.
A business model that has made millionaires out of struggling
business owners
Turning real estate brokers in to real estate investment manager.
Nobody in the world sells more real estate than RE/MAX.




                                                       www.remax-mgm.com
What is RE/MAX model ?




                  www.remax-mgm.com
Is RE/MAX model successful ?


         91 Countries
      7000+ Offices
    100,000+ Agents
  20,00,000+ Transactions
          What else to say
                             www.remax-mgm.com
Comparison

Own Business                     RE/MAX
   High Capital Investment
                                     Nominal Affiliation Fee
 Variable Running Expenditure
                                 Minimum monthly expense
     High Manpower Cost
                                      Bigger office Space
   Limited Market Presence
                                         Biggest Brand
          Network
                                 Highest Market Presence
    Advertising/ Branding
                                        Largest Network
        Limited Reach
                                       Higher Advertising

                                        Unlimited Reach
Why Indian real estate market needs
              RE/MAX ?


The Indian G.D.P. growth of amongst the fastest across the world.
World’s top 5 economies and urbanization is spreading across the country.
There is a huge demand for professional people who can provide better
services.
Developers and customers are in search of skilled & professional real estate
brokers.




                                                         www.remax-mgm.com
Why join RE/MAX ?

Power of the RE/MAX Name
 Worldwide Real Estate Leader Premier Market Presence
Technological Edge Premier Market Presence
Networking and Referrals Main Street. Not Wall Street.
On-Demand Education Take a Step Above the Crowd
Common Advertising
Recruiting Support
In Business for Yourself, But Not by Yourself
Franchise Support




                                                         www.remax-mgm.com
Traditional Business Model
             vs
 RE/MAX business model?




                      www.remax-mgm.com
Problems in normal business models

High manpower costs
High manpower turnover
High branding costs
No training efforts
High monitoring
No support
No cooperation from competition




                                  www.remax-mgm.com
Benefits in RE/MAX business models

Low manpower costs
Less manpower turnover
Less branding costs
Training & Motivation
Less monitoring
Support at every stage
Cooperation from competition




                               www.remax-mgm.com
Problem in other broking business


Low inventory
Unskilled agents
Lack of technological use
Dissatisfied customers




                            www.remax-mgm.com
Benefits in RE/MAX broking business


High inventory
Trained & Skilled agents
Use of technology
Satisfied customers




                           www.remax-mgm.com
Why RE/MAX business model ?

A business model which helps in:
   Attracting most Professional agents of the market
   Agents who are motivated to provide the best service
   Attracting Most listing in the market
   Build a Brand
Other features of this model:
   Accountable
   Flexibility in running franchise




                                                      www.remax-mgm.com
RE/MAX’s Agent Centric Business
                 Model

• Broker associates earning the maximum percentage on every transaction (45-81%)

•   Broker office 9-45% and so on

• The gains for the broker owner multiply with every Broker associates he/she recruits


                          Brokerage


                                    Remax

                                    Broker Office & Broker Associates

                                                                www.remax-mgm.com
Franchise Support



Sales Associate Orientation program (SAO) gives your new recruits all the
information on RE/MAX’s programs and services
Information on training, business planning, awards and
recognition, conferences, rallies, retreats, technology, trademark and graphic
standards, referrals, community care programs etc.
franchise owner, recruiting and retention is the lifeblood of your business




                                                          www.remax-mgm.com
In Business for Yourself, But Not by
               Yourself

The RE/MAX organization was created by top real estate
professionals for top real estate professionals
With the RE/MAX name working for you worldwide every day,
you have every opportunity to rise to heights you may never
before have dreamed of.
your own successful real estate company using the best system
and support services in the industry, you owe it to yourself to
look closely at RE/MAX.




                                                        www.remax-mgm.com
Recruiting Support


The RE/MAX brand, market share and advertising give you a
better opportunity
Start with an online site devoted exclusively to recruiting
www.remax-mgm.com
You can send your prospects to the site before you meet with
them, giving them a strong knowledge of the benefits and
services RE/MAX has to offer.




                                                     www.remax-mgm.com
National Advertising


Our print ads are in all the major home magazines
Sales associates capitalize on the top-of-mind awareness.
Award-winning RE/MAX advertising helps RE/MAX
Broker/Owners recruit Sales Associates




                                                        www.remax-mgm.com
Networking and Referrals


RE/MAX Affiliates refer their clients directly - agent-to-agent,
with no middleman adding additional cost - to over 100,000
Sales Associates in more than 7,000 offices in over 91 countries.
The referral experience is facilitated by the online referral roster,
which features automated forms and online referral
transmission.
RE/MAX referrals flow from one experienced agent directly to
another based on criteria they select themselves




                                                           www.remax-mgm.com
Use of technology


RE/MAX has developed one of the world’s most advance
technology platforms- Gryphtech
It is for India operation which would give an unmatched
technological advantage to your agents.
Gryphtech offers a suite of high quality application which ensure
that not only your agents are able to present their listing more
impressively.
Also empower you with powerful administrative tools to help
you take control of your business.




                                                         www.remax-mgm.com
Satisfied Customers


RE/MAX is one of the most trusted brand in the world.
Skilled & Professional agents makes customer satisfied
The customer is further assured of safety of the transaction.
The broker associates introduce themselves as a part of the
RE/MAX network , thy will give the customer the assurance of a
brand.




                                                       www.remax-mgm.com
RE/MAX’s unique business model


At RE/MAX everyone wins- agents get maximum commission.
Agent has more satisfaction and motivation to work harder
More inventory , sales , profit
Everyone work as entrepreneur
Less agent monitoring required




                                                    www.remax-mgm.com
Key reasons to join RE/MAX


Power of a global brand
Marketing and lead generation
Training
Technology
Agent Technology Tools
Office Technology Tools
Network
Business for yourself , but not by yourself




                                              www.remax-mgm.com
Power of Global Brand

The day you join RE/MAX, everybody knows your name.
RE/MAX is synonymous with quality, integrity, professionalism
and experience.
Extensive national advertising, worldwide sponsorship of major
sports events and the collective power of marketing by
thousands of Affiliates
It's a fact: Buyers and Sellers flock to RE/MAX.




                                                       www.remax-mgm.com
Marketing & Lead Generation


The RE/MAX network enables you to explore and generate
relevant leads.
A fraction of the cost through co-operative participation with
other RE/MAX affiliates
Every time any RE/MAX affiliate undertakes a marketing initiative
in the country, it is your brand RE/MAX that gets promoted.




                                                        www.remax-mgm.com
Agent technology tools

Contact management system for all
Referral manager for transactions
Marketing tools for reaching out to more people
Personal webpage and email address
Unlimited property listing with photographs
Buyer Match




                                                  www.remax-mgm.com
Office technology tools

Performance tracking of associates
Goal setting for your office
Comparing your office performance with other offices
Complete analysis of office like inventory, lead generation ,
agent’s daily activities, transaction reporting




                                                          www.remax-mgm.com
Training

Skill development & knowledge sharing
Professional training program for associates for improving in earning
Use of technology in real estate business
RE/MAX frequently organise training to upgrade skills & knowledge
Training programmes are focused on improving the earnings of each
associates
Trainings are more focused on some of the important topics like
Sales , Technology & Real Estate fundamentals.




                                                        www.remax-mgm.com
RE/MAX business model is better
       than the other business

Agent centric company
Run by entrepreneurs at every level
Affordable investment
Least operating cost
Focused on skill development, training, use of technology
Biggest network
Support at every level
Assurance of a brand
Unlimited potential , endless possibilities



                                                        www.remax-mgm.com
Who can Apply for a Real Estate
               Franchise?
For a RE/MAX franchise you require :
  Investment ability from 5 to 10 lakhs
  An office space in any location
  Flair to recruit agents to work in the franchise

Solicited for franchises are open right now in the following areas:
Gujarat, Mumbai , Maharashtra ,Ahmedabad, Vadodara, Surat
, Rajkot, Pune, Aurangabad, Nasik , Thane.




                                                          www.remax-mgm.com
Make the decision that will make your life




 JOIN

Call us : 1800-121-7100 or email us : mgm@remax.in

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Comparing RE/MAX Business Model with traditional Real Estate Broker

  • 1. Why RE/MAX business model is better than the normal broker’s business model? www.remax-mgm.com
  • 2. What a normal broker model is? Invest in office (space and interiors) Do transactions to earn money When business grows keep employees Prefers to keep relatives , friends so there is less or no cheating Open another branch only if a relative or a very trustworthy person is available. www.remax-mgm.com
  • 3. Investment in Office Minimum 500 sq feet office is required Either rented or owned Overheads of running an office Manpower cost Other Expenses, like government compliances www.remax-mgm.com
  • 4. Transaction Oriented Approach: In normal broking business, you just do transactions, but not focus on building relationships. (As the first priority is to run the office) No long term vision No training available on how to increase business Less technological use Each office tries to create own brand www.remax-mgm.com
  • 5. High Running cost: If your business grows , you have to keep more employees – which are hard to find By keeping more employees , you are adding cost in your business You also need to retain employees by giving them more money More employees, More Management , More Time, More Cost www.remax-mgm.com
  • 6. Trustworthy Employees: There is always a risk of cheating in business in real estate brokerage due to lack of documentation. A businessman tries to keep known and trustworthy friends and relatives It is difficult to get relatives who can be successful brokers www.remax-mgm.com
  • 7. Multi-City Branches You need a : Trustworthy person In the city in which you want to open a branch Who is willing to start a real estate business Wants to work under you Mostly the relatives lives in same area/city www.remax-mgm.com
  • 8. Why normal brokers are not successful? Not scalable Revolving door mentality No viability for branding ,training or technology www.remax-mgm.com
  • 9. Not Scalable It is difficult for individual to expand the business Volume of business stays limited due to capacity constraints. Due to cyclical nature of the industry the broker cannot commit to high fixed costs www.remax-mgm.com
  • 10. Revolving door mentality Employees come and the broker trains them They learn and work for sometime and leave the business when they become expert So the broker looses on all the investment he has done on this person. Moreover, the employee becomes competitor. www.remax-mgm.com
  • 11. No scale for branding In today’s competitive market advertisement is necessary which is a costly affair. If you don’t do advertisement, you don’t do generate enough leads to stay busy Each office tries to build its own brand, which takes years. As all competitors are also doing the same, the cost of advertisement increases and effectiveness decreases.
  • 12. No scale for training Training requires a class full of students and a trainer With 3 employees, the broker doesn’t have any scale for training No ready made courses are available for the broker to send his employees to. Moreover good employees don’t join the broker and he has to get fresher's or people outside industry Customers on other hand demand best service, which requires more training to employee
  • 13. No scale of technology Website and software needs to be made to market the listing online. However a small office doesn’t have financial or technical resources to do all that Technology is required to make employees more productive. Without technology, employees do less work in more time, which hinders the office growth
  • 14. How to grow? The broker can break the vicious cycle by joining hands with RE/MAX, the worlds most productive work force of real estate broking.
  • 15. About RE/MAX World’s leading real estate network. Presence in 91 countries & nearly 7000 franchised office. A business model that has made millionaires out of struggling business owners Turning real estate brokers in to real estate investment manager. Nobody in the world sells more real estate than RE/MAX. www.remax-mgm.com
  • 16. What is RE/MAX model ? www.remax-mgm.com
  • 17. Is RE/MAX model successful ? 91 Countries 7000+ Offices 100,000+ Agents 20,00,000+ Transactions What else to say www.remax-mgm.com
  • 18. Comparison Own Business RE/MAX High Capital Investment Nominal Affiliation Fee Variable Running Expenditure Minimum monthly expense High Manpower Cost Bigger office Space Limited Market Presence Biggest Brand Network Highest Market Presence Advertising/ Branding Largest Network Limited Reach Higher Advertising Unlimited Reach
  • 19. Why Indian real estate market needs RE/MAX ? The Indian G.D.P. growth of amongst the fastest across the world. World’s top 5 economies and urbanization is spreading across the country. There is a huge demand for professional people who can provide better services. Developers and customers are in search of skilled & professional real estate brokers. www.remax-mgm.com
  • 20. Why join RE/MAX ? Power of the RE/MAX Name Worldwide Real Estate Leader Premier Market Presence Technological Edge Premier Market Presence Networking and Referrals Main Street. Not Wall Street. On-Demand Education Take a Step Above the Crowd Common Advertising Recruiting Support In Business for Yourself, But Not by Yourself Franchise Support www.remax-mgm.com
  • 21. Traditional Business Model vs RE/MAX business model? www.remax-mgm.com
  • 22. Problems in normal business models High manpower costs High manpower turnover High branding costs No training efforts High monitoring No support No cooperation from competition www.remax-mgm.com
  • 23. Benefits in RE/MAX business models Low manpower costs Less manpower turnover Less branding costs Training & Motivation Less monitoring Support at every stage Cooperation from competition www.remax-mgm.com
  • 24. Problem in other broking business Low inventory Unskilled agents Lack of technological use Dissatisfied customers www.remax-mgm.com
  • 25. Benefits in RE/MAX broking business High inventory Trained & Skilled agents Use of technology Satisfied customers www.remax-mgm.com
  • 26. Why RE/MAX business model ? A business model which helps in: Attracting most Professional agents of the market Agents who are motivated to provide the best service Attracting Most listing in the market Build a Brand Other features of this model: Accountable Flexibility in running franchise www.remax-mgm.com
  • 27. RE/MAX’s Agent Centric Business Model • Broker associates earning the maximum percentage on every transaction (45-81%) • Broker office 9-45% and so on • The gains for the broker owner multiply with every Broker associates he/she recruits Brokerage Remax Broker Office & Broker Associates www.remax-mgm.com
  • 28. Franchise Support Sales Associate Orientation program (SAO) gives your new recruits all the information on RE/MAX’s programs and services Information on training, business planning, awards and recognition, conferences, rallies, retreats, technology, trademark and graphic standards, referrals, community care programs etc. franchise owner, recruiting and retention is the lifeblood of your business www.remax-mgm.com
  • 29. In Business for Yourself, But Not by Yourself The RE/MAX organization was created by top real estate professionals for top real estate professionals With the RE/MAX name working for you worldwide every day, you have every opportunity to rise to heights you may never before have dreamed of. your own successful real estate company using the best system and support services in the industry, you owe it to yourself to look closely at RE/MAX. www.remax-mgm.com
  • 30. Recruiting Support The RE/MAX brand, market share and advertising give you a better opportunity Start with an online site devoted exclusively to recruiting www.remax-mgm.com You can send your prospects to the site before you meet with them, giving them a strong knowledge of the benefits and services RE/MAX has to offer. www.remax-mgm.com
  • 31. National Advertising Our print ads are in all the major home magazines Sales associates capitalize on the top-of-mind awareness. Award-winning RE/MAX advertising helps RE/MAX Broker/Owners recruit Sales Associates www.remax-mgm.com
  • 32. Networking and Referrals RE/MAX Affiliates refer their clients directly - agent-to-agent, with no middleman adding additional cost - to over 100,000 Sales Associates in more than 7,000 offices in over 91 countries. The referral experience is facilitated by the online referral roster, which features automated forms and online referral transmission. RE/MAX referrals flow from one experienced agent directly to another based on criteria they select themselves www.remax-mgm.com
  • 33. Use of technology RE/MAX has developed one of the world’s most advance technology platforms- Gryphtech It is for India operation which would give an unmatched technological advantage to your agents. Gryphtech offers a suite of high quality application which ensure that not only your agents are able to present their listing more impressively. Also empower you with powerful administrative tools to help you take control of your business. www.remax-mgm.com
  • 34. Satisfied Customers RE/MAX is one of the most trusted brand in the world. Skilled & Professional agents makes customer satisfied The customer is further assured of safety of the transaction. The broker associates introduce themselves as a part of the RE/MAX network , thy will give the customer the assurance of a brand. www.remax-mgm.com
  • 35. RE/MAX’s unique business model At RE/MAX everyone wins- agents get maximum commission. Agent has more satisfaction and motivation to work harder More inventory , sales , profit Everyone work as entrepreneur Less agent monitoring required www.remax-mgm.com
  • 36. Key reasons to join RE/MAX Power of a global brand Marketing and lead generation Training Technology Agent Technology Tools Office Technology Tools Network Business for yourself , but not by yourself www.remax-mgm.com
  • 37. Power of Global Brand The day you join RE/MAX, everybody knows your name. RE/MAX is synonymous with quality, integrity, professionalism and experience. Extensive national advertising, worldwide sponsorship of major sports events and the collective power of marketing by thousands of Affiliates It's a fact: Buyers and Sellers flock to RE/MAX. www.remax-mgm.com
  • 38. Marketing & Lead Generation The RE/MAX network enables you to explore and generate relevant leads. A fraction of the cost through co-operative participation with other RE/MAX affiliates Every time any RE/MAX affiliate undertakes a marketing initiative in the country, it is your brand RE/MAX that gets promoted. www.remax-mgm.com
  • 39. Agent technology tools Contact management system for all Referral manager for transactions Marketing tools for reaching out to more people Personal webpage and email address Unlimited property listing with photographs Buyer Match www.remax-mgm.com
  • 40. Office technology tools Performance tracking of associates Goal setting for your office Comparing your office performance with other offices Complete analysis of office like inventory, lead generation , agent’s daily activities, transaction reporting www.remax-mgm.com
  • 41. Training Skill development & knowledge sharing Professional training program for associates for improving in earning Use of technology in real estate business RE/MAX frequently organise training to upgrade skills & knowledge Training programmes are focused on improving the earnings of each associates Trainings are more focused on some of the important topics like Sales , Technology & Real Estate fundamentals. www.remax-mgm.com
  • 42. RE/MAX business model is better than the other business Agent centric company Run by entrepreneurs at every level Affordable investment Least operating cost Focused on skill development, training, use of technology Biggest network Support at every level Assurance of a brand Unlimited potential , endless possibilities www.remax-mgm.com
  • 43. Who can Apply for a Real Estate Franchise? For a RE/MAX franchise you require : Investment ability from 5 to 10 lakhs An office space in any location Flair to recruit agents to work in the franchise Solicited for franchises are open right now in the following areas: Gujarat, Mumbai , Maharashtra ,Ahmedabad, Vadodara, Surat , Rajkot, Pune, Aurangabad, Nasik , Thane. www.remax-mgm.com
  • 44. Make the decision that will make your life JOIN Call us : 1800-121-7100 or email us : mgm@remax.in