The presentation is for Coldwell Banker Elite agents in Fredericksburg Virginia. Each agent is given the opportunity to develop their career plan and budget to encourage their success. For more information email Careers@ColdwellBankerElite.com

1. MasterYourPlan
Real Estate | Business Planning
Matthew Rathbun | Director of Professional Development

2. So...Why a
Business Plan?
Because I’m a
Professional
Focus | Planning | Budgeting | Accountability | Development

3. You, Incorporated
You’re the:
• CEO
• CFO
• Marketing Director
• IT Staff
• Research Analysis
• Administration
WouldYou Hire and KeepYou?

4. Broker Commission Example
$250,000 Home Sales Price
2.5% Commission to the Buyer Agent
(Just an Example)
2.5% of $250,000 = $6, 250
$6,250 split 50% with Broker (Splits are Negotiable) = $3,125

5. Personal Commission Breakdowns
$3125 (Gross brought over from last slide)
-$187 6% Franchise Fee
$2938
-$588 20% for Taxes
$2350
-$235 10% Business Savings
$2115
-$846 40% Back into Business Budget
$1269 = Personal Net Income
(from sale of $250,000 home)
$3125
-$187
$2938
-$588
$2350
-$235
$2115
-$846
$1269

6. The median net income of
REALTORS®, after accounting for
taxes and expenses, was $18,200 in
2009.
Based on our $250,00 sales price example, an
agent would need to sell 18.5 homes per year to
meet the national median in income
60% of REALTORS® Sold NOTHING in the
last year

7. Annual Income?
40 hours x 52 weeks = 2080 hours
Desired Income ÷ 2080 Hours = Hourly Value
Example: $100,000 ÷ 2080 = $48 per Hour

8. Agent by Speciality
82%
4%
4%
10%Residential
Commercial
Prop. Manage.
Other

9. Agents Likely to Stay in Business
0 20 40 60 80
73
20
7
Very Certain
Somewhat Certain
Not Certain

10. Mission
•Your “Now”
• Broad Goal
•The “How”
Vision
•Your “Future”
• FutureView
•WhereYou Want To Be

11. Example Mission
Statement
To have a foundation of constant
growth and improvement so that we
may empower our clients to achieve
their real estate goals, all with the
highest caliber of service and support.

12. ExampleVision
Statement
To embrace and drive change, a
community of realtors working with
clients towards common goals.
Delivering world class service and
marketing while giving back to the
communities we live in.

13. The Written Plan

14. A study at Yale University polled the graduating
class of 1953 and discovered that 3% of the
students practiced writing down their goals. A
follow up twenty years later found that the 3% that
had written down their goals were worth more
financially than the other 97% combined! It also
appeared that this 3% were more successful in other
ways, too, such as having happy relationships.
GOAL Setting

15. Goal Setting
•S = Specific
•M = Measurable
•A = Attainable
•R = Realistic
•T = Timely

16. Taking Inventory

17. Art of War
k n o w t h e e n e m y a n d k n o w
yourself, you need not fear the
result of a hundred battles.
If you know yourself but not the
enemy, for every victory gained you
will also suffer a defeat.
If you know neither the enemy nor
yourself, you will succumb in every
battle.
- Sun Tzu

21. Where are you now?
• Income
• Expenses
• Special Accounts
• Tax Savings
• Time Commitment
• Assets
• Sacrifices

22. Establish The Need
• Increase Business?
• Decrease Costs?
• Hire Staff?
• Speciality Focus

23. Productive
Lead
Sources
REO
RELO
Blog
Sign
Calls
Website
Chamber

24. 20%
5%
5%
10%
25%
5%
30%
Blog Sign Call
Chamber Trulia
Website Direct Mail
Facebook

25. Accountability

26. Money
Hours
of
Work
Sacrifices Relationships
Health
&
Recreation
Time
Commitments
Spiritual
Needs

27. Development
REALTORS®
with
Designations
make 60%
more than
those
without

28. Feasibility
Brain Dump
Mission /Vision
Previous History
Market Research
Chosen Model
Assests

29. What are the most important costs inherent in our business model?
Which Key Resources are most expensive?
Which Key Activities are most expensive?
Through which Channels do our Customer Segments
want to be reached?
How are we reaching them now?
How are our Channels integrated?
Which ones work best?
Which ones are most cost-efficient?
How are we integrating them with customer routines?
For what value are our customers really willing to pay?
For what do they currently pay?
How are they currently paying?
How would they prefer to pay?
How much does each Revenue Stream contribute to overall revenues?
For whom are we creating value?
Who are our most important customers?
What type of relationship does each of our Customer
Segments expect us to establish and maintain with them?
Which ones have we established?
How are they integrated with the rest of our business model?
How costly are they?
What value do we deliver to the customer?
Which one of our customer’s problems are we helping to solve?
What bundles of products and services are we offering to each Customer Segment?
Which customer needs are we satisfying?
What Key Activities do our Value Propositions require?
Our Distribution Channels?
Customer Relationships?
Revenue streams?
Who are our Key Partners?
Who are our key suppliers?
Which Key Resources are we acquiring from partners?
Which Key Activities do partners perform?
What Key Resources do our Value Propositions require?
Our Distribution Channels? Customer Relationships?
Revenue Streams?
Day Month Year
No.
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www.BusinessModelGeneration.com

30. !
Personal Action Plan
For the 12-Month Period
From_________________________________To_____________________________
Sales
Associate_____________________________________________________________
Personal and
Confidential

31. Personal Action Plan
Use this valuable tool for career planning and goal setting. Understanding your career objectives will
help us work as a team and achieve greater success.
Situation Analysis
Review your business strategies from the past 12 months.
1. Personal income $ ______________________
2. Number of new listings _______________________
3. Average list price $ _______________________
4. Number of listings sold _______________________
5. Average sales price of listings sold $ _______________________
6. Number of buyer sales _______________________
7. Average price of buyer sales $ _______________________
8. Total number of sales _______________________
9. Average sales price $ _______________________
10.Total number of canceled sales _______________________
11.Average number of prospecting hours each week _______________________
12.Average number of hours worked each week _______________________
13.List the sources of your last 10 clients
_______________________ _______________________
_______________________ _______________________
_______________________ _______________________
_______________________ _______________________
_______________________ _______________________

32. Major Objectives
Goal setting and planning is vital to your success. Determine your future objectives and
pinpoint areas for enhancement.
Objective Projected Date Task Achieved
To earn an annual personal income of
$_______________
To work an average of _____ hours per week
To work a maximum of _____ days a week
and take _____ weekends off per month
To spend ______% of my personal income
on personal promotion
Utilize contact management tools to organize
prospecting strategies
Respond to customer e-mails within one
hour, whenever possible
Purchase personal computer, laptop, PDA,
etc
Obtain a personal profile page on
coldwellbanker.com
Attend the International Business Conference
Attend Coldwell Banker® and industry course catalog via cbu.com
1.
2.
3.
Attend continuing education courses:
1.
2.
3.
Other
_____________________________________________________________________

33. Five-Year Personal Income Plan
How do you visualize your financial future? Put down your personal income goals for
the next five years.
YEAR INCOME
_____________ $_____________________
_____________ $_____________________
_____________ $_____________________
_____________ $_____________________
_____________ $_____________________
Production Targets
Define your goals for the coming year.
1. 12-month Personal Income Commitment $___________________________
2. Total number of sales (open) ____________________________
3. Total number of sales (closed) ____________________________
4. Number of new listings ____________________________
5. Number of listings sold (open) ____________________________
6. Number of listings sold (closed) ____________________________
7. Listings sold (personal income) *___________________________
8. Buyers sold (open) ____________________________
9. Buyers sold (closed) ____________________________
10. Buyers sold (personal income) *___________________________
11. Number of outgoing referrals (sent) ____________________________
12. Number of referrals (closed) *___________________________
(*Should total 12-month Personal Income Commitment)

34. Prospecting Plan
Using the listing below, write down the percentage of income the activity would comprise, and the
actual income you would receive. (For example, if your Personal Income Commitment is $100,000
and you feel that you will receive 10 percent of your income through phone prospecting, your actual
income from these calls would be $10,000.)
Prospecting Activity Percentage of Income Actual Income
1. Sphere of influence ________________ ________________
2. Past clients/customers ________________ ________________
3. For Sale By Owner ________________ ________________
4. Expired listings ________________ ________________
5. Phone prospecting ________________ ________________
6. Open houses ________________ ________________
7. Referrals ________________ ________________
8. Other ________________ ________________
TOTAL 100% $________________
(Personal Income Commitment)
Prospecting Plan Strategies
How can you use the above items to achieve your prospecting objectives? Visit Coldwell Banker Works at
www.coldwellbankerworks.com or reference your Brand Resource Guide for a complete overview of the
systems and tools available to you.
1. _________________________________________________________________________
2. _________________________________________________________________________
3. _________________________________________________________________________
4. _________________________________________________________________________
5. _________________________________________________________________________
6. _________________________________________________________________________
7. _________________________________________________________________________
8. _________________________________________________________________________

35. Monthly Production Forecast
Estimate by month how you will achieve your income through listings, referrals, etc.
New Listings Listings Sold
(Open)
Buyers Sold
(Open)
Outgoing Referrals
MONTH Target Actual Prior
Year
Target Actual Prior
Year
Target Actual Prior
Year
Target Actual Prior
Year
January
February
March
April
May
June
July
August
September
October
November
December
TOTAL
Personal Commitment
I have carefully considered my Personal Income Commitment, Production Targets and Prospecting Plan.
Also, I agree to commit myself to the effort and hard work necessary to achieve these goals.
________________________________________________________________________________
Date Sales Associate Date Sales Manager

36. 2010 Business Plan
Mission
Produce sufficient income to cover costs of living plus reduction of 15% of all
overall debt and 10% of total income in Savings
Vision
To use our gifting and skillsets to be successful REALTORS®, while
conducting business and to be in the top 10% of regional agents by
production by year end.
Goals
• Establish 10% market share in target farms
• Target Farms
• ABC Subdivision
• DEF Subdivision
• List and sell a minimum of 25 homes or lots
• Close 15 buyer side transactions
• First page placement on at least 10 common searches via Google for
Market Region.
• Obtain CRS Designation by year end
Income Projections
40 Transactions @ an average sales price of $200,000 and 2.5% commission
= $5,000 per listing. 65% commission split = $3,250 x 40 transactions =
$130,000.
$130,000 less 10% for taxes = $13,000
$130,000 less 10% for charity = $13,000
$130,000 less 30% for business costs = $39,000
Real Estate Created Household Income: $65,000
Additional Income: $25,000 Retirement
Generic Agent Example

37. Total Projected Income: $90,000
Educational Goals
Complete Bi-Annual Continuing Education
CRS Designation
Schedule Projections
Weekly Days Off: Mondays and Thursdays
Vacations: Two ($3,000 Budget)
• 1 week in May - random location
• 1 week in September - Beach House
Goals
Micro-Goals Macro-Goals
$3,500 Reserves 15% Overall Debt Reduction
$1,500 Christmas Fund Dental Work ($3,000)
Digital Camera ($1350) Personal Insurance
Weekly Activity with Kids ($1200) Weight Loss / Tone
New Marketing Techniques to Implement
• Doc-u-sign - $120 per year
• eMail System - $30/month
• Short Sale Solicitation Letters - $250
• Quarterly seminars - $300
Association Work
Local - Grievance
Ethics Dialogue
Special Functions
Civic - Chamber of Commerce

38. Personal Real Estate
Monthly $ Annual $ Monthly $ Annual $
Rent or Mortgage License
Automobile Payment(s) MLS Dues and Fees
Home Insurance Business Cards
Food Phone or Cell Phone
Electric Office Rent/Desk Fee
Telephone Auto Expense
Gas Computer/Internet
Water/Sewer/Trash Marketing - Mailers
Other Utilities Marketing - Web Site
Auto Insurance Marketing - Pay Per Click
Dish/Cable TV Marketing - Print
Internet/DSL Marketing - Brochures
Health Insurance Marketing - Other
Medical Expense Marketing - Other
Children school expense Organization Dues
Clothing Office Supplies
Entertainment Copy Expenses
**Enter an expense Education Expenses
**Enter an expense Client Entertainment/Gifts
**Enter an expense **Enter an expense
**Enter an expense **Enter an expense
**Enter an expense **Enter an expense
**Enter an expense **Enter an expense
**Enter an expense **Enter an expense
**Enter an expense
**Enter an expense
TOTALS -$ -$ -$ -$
Expenses

39. Enter average transaction amount--> $200,000
Enter average transaction percent--> 2.75% * For 3%, enter .03, etc.
Enter your split percentage-------------> 60.0% * For 55%, enter .55, etc.
Your average commission per transaction is ----------> 3,300$
% of business in Spring 30% ** Enter 25% as .25, etc.
% of business in Summer 40%
% of business in Fall 20%
% of business in Winter 10%
******Must equal 100% 100%
Estimated number of transactions for the year----> 12
Your annual personal expenses are--> $0 Your annual business expenses are-> $0
Approximate monthly cash flow:
January $3,960
February $3,960
March $3,960
April $5,280
May $5,280
June $5,280
July $2,640
August $2,640
September $2,640
October $1,320
November $1,320
December $1,320
Annual Cash Flow--------> 39600
Income Requirement

41. Facebook.com/mattrathbun
@mattrathbun
matthew@realtor.com
www.TheAgentTrainer.com
YouTube.com/MattRathbun1