Business planning is essential for success in real estate, serving as a roadmap that can help you set clear objectives and track your progress throughout the year. It ensures you have a structured approach to achieving your goals, whether that means increasing sales, enhancing client relationships, or expanding your market reach.
For some, a business plan may be as simple as a spreadsheet outlining key metrics and targets, while for others, it might include more comprehensive strategies, such as setting goals in KW Command or utilizing MREA models for detailed planning. Ultimately, business planning looks different for everyone, tailored to individual needs and aspirations, but the core purpose remains the same: to guide you toward a successful and fulfilling career.
As we move into the last quarter of the year, it’s the perfect time for seasoned and rookie real estate agents alike to think ahead. To help guide us through a few key areas of the business planning process, we spoke with Scott Toombs, a 19-year real estate veteran who began his career in January 2005 and quickly embraced the Keller Williams models, launching his first market center within a year. He transitioned to a regional director role in 2010 and found his true calling as a KW MAPS Coach in 2014, eventually becoming the head coach and then the director of BOLD Growth.
Below, Scott helps us outline how mindset, models, systems, structure, and more can set you up for a successful business planning process that keeps you focused on your big why and big goals year-round.
The Right Mindset
Starting with the right mindset is crucial for effective business planning. Scott emphasizes the importance of understanding your why in this industry. “It’s not just about selling a certain number of homes; it’s about what that success means for you,” he explains. Whether it’s funding your kids’ education, caring for family members, or enjoying a well-deserved vacation, as a coach, he believes finding your motivation is key.
“It’s not just about selling a certain number of homes; it’s about what that success means for you.”
Scott Toombs, Regional Director, MAPS Head Coach, Director of BOLD Growth
Key Questions to Ask
As you begin your business planning process, consider these key questions:
- What are your personal and professional goals for 2025?
- How will you measure your success?
- What challenges might you face, and how can you prepare for them?
- Are your lead generation strategies robust enough to support your desired outcomes?
The Business-Planning Process
When it comes to business planning, Scott follows the MREA (Millionaire Real Estate Agent) models, which include four essential components:
- Economic Model: Understand the financial aspects of your business.
- Lead Generation Model: This is the heartbeat of your business. Scott believes it deserves the most attention, especially in shifting markets.
- Budget Model: Allocate your resources effectively.
- Organizational Model: Structure your team to support growth.
New agents can use these models as a roadmap, while seasoned agents can refine their existing strategies.
Key Questions to Ask
As you review your four models, consider these key questions:
- What is my average commission amount so far this year?
- What percentage of my business is buyers and what percentage of my business is sellers?
- What are my conversion rates from appointment to agreement and from agreement to closing on the buyer side? What about on the seller side?
Regularly Review Your Business Plan
One common mistake Scott identifies is not keeping the business plan visible. “It’s essential to keep your business plan in front of you, just like a GPS when driving to a destination,” he notes.
Regularly reviewing your plan ensures you stay aligned with your goals.
- Schedule regular check-ins: Set aside time, whether weekly, monthly, or quarterly, to review your business plan. This will help you stay accountable and make adjustments as needed.
- Incorporate it into your daily routine: Try to incorporate reviewing your business plan into your daily or weekly workflow.
- Use visual cues: Keep a physical copy of your business plan in a prominent place, like on your desk or wall, to serve as a constant reminder. You could also create a digital dashboard or scorecard to track your progress in KW Command.
- Involve your team: If you have a team, make reviewing the business plan a collaborative effort. Get their input and buy-in to foster a shared sense of ownership and accountability.
- Celebrate milestones: When you achieve a goal or milestone outlined in your business plan, take the time to celebrate and reflect on your progress.
The key is to make reviewing and updating your business plan a consistent habit rather than a one-time exercise so that it remains a dynamic and valuable tool to guide you toward your professional and personal goals in 2025.
“It’s essential to keep your business plan in front of you, just like a GPS when driving to a destination”
Scott Toombs, Regional Director, MAPS Head Coach, Director of BOLD Growth
Create a Business Plan in Action!
Now that you’re inspired, here are a few more actionable steps to take:
- Set Goals in KW Command: Use the KW Command platform to effectively set and track your goals. Check out this guide for step-by-step instructions.
- Ask Local Leadership About Real Estate Business Planning Clinics: Connect with your local leadership team to inquire about upcoming business planning clinics in your area. These can provide valuable insights and collaborative opportunities.
- Leverage the MREA Models: Familiarize yourself with the MREA models to structure your business planning. If you need a refresher, Scott recommends revisiting the fundamentals regularly to stay on track.
A Final Word: Continuous Training and Development
Training and development play a vital role in business planning. Scott emphasizes the value of ongoing education, particularly through Keller Williams’ BOLD program. The new BOLD curriculum, Onward BOLD, focuses on productivity, personal growth, and mindset transformation. “Knowing what to do isn’t always the challenge; it’s having the mindset to do it,” Scott explains. BOLD can equip you with the tools and techniques to navigate the ever-changing real estate landscape. And, with the right mindset and tools, you can turn your ambitions into reality.