The Keller Williams Realty Model Myth- It is a Pyramid or Multilevel Marketing Scheme
One of the biggest myths about Keller Williams Realty, is that our profit sharing business model is some sort of multi-level marketing or pyramid scheme model. The goal of this post is to provide new and experienced real estate agents that are interested in a more informed understanding of the Keller Williams Realty profit sharing model, all of the appropriate information on this subject.
Let’s start off by addressing the three most glaring differences between the KW profit sharing model and a MLM or pyramid scheme type business opportunity. First of all, the traditional pyramid scheme model is no longer a legal business model to operate. Keller Williams Realty is now the fourth largest real estate company in North America, and since being founded in 1983, our business model has been approved in every state around the country and Canada.
Secondly, multi-level marketing opportunities usually require both buying inventory/services upfront and mandatory quotas to reach any real incentives . At Keller Williams Realty, their are absolutely no costs and no quotas associated with participating in profit sharing.
Thirdly, multi-level marekting models are typically designed to make the majority of the profits rise to the top of the multi-level tree. The reason that this happens, is that there is typically no limit to how many levels and people you can have underneath you. At Keller Williams Realty, our profit sharing model is ‘capped’ at 7-levels. This makes the KW profit sharing opportunity equal for everyone in the company. The top profit sharing real estate agents in our company, are only making money off of the profitability of the agents seven levels below them. As of right now, there are over 60+ levels in Keller Williams’ company tree, and many of our future profit sharing leaders are not even with our company yet!
It is also critical that you do not confuse the KW profit sharing model with other revenue sharing real estate companies. Typically, in a revenue sharing real estate company, every time someone that you brought into the company closes a deal, you make a percentage of their commission. At Keller Williams, our business model is tied to profit sharing. This is the catalyst for what most of the real estate agents in our company truly believe is the biggest benefit of running their business at KW… the culture!
Whether or not you make any profit sharing money through our company is a distant second to the the effects that the profit sharing model has on our training, education and culture. In an industry that has historically always been a ‘dog eat dog’ type business, you now have a company where there is a real incentive for the real estate agents to share their ideas, secrets and models. That is why at KW, our most successful real estate agents are the ones teaching the classes. The idea is very simple: TEAM:Together Everyone Achieves More!
Another perspective to consider, is what the effect of treating your real estate agents like shareholders has on the growth of your company. Keller Williams was the only one of the top five real estate companies to grow in agent count in 2007 and also saw a 37% increase in market share. The bottom line, is that there is no other industry where the sales force(real estate agents) are more of the product then in the real estate industry. If you treat the agents as partners(share the profits, offer them the best commission splits, open the books, provide the best agent training & support and create a culture where agents share ideas), why would they want to every leave your company.
To really put our amazing growth in perspective, you need to also consider the fact that KW does not spend any money marketing the ‘KW’ brand to the consumers like every other real estate company. Instead of spending millions of dollars a year marketing our brand to the consumers, we invest our money and resources into our real estate agents, because unlike other real estate companies who see their greatest asset as their company’s brand recognition, our growth is based on agent productivity and more importantly….agent retention.
Keller Williams Realty Atlanta - Midtown
1420 Peachtree Street Suite 100
Atlanta, GA 30309
Team Leader: Julie Mansfield
P: 404-604-3100
F: 404-604-3101
Keller Williams Realty Atlanta - In Town
621 North Avenue NE Suite C-50
Atlanta, GA 30308
Team Leader: Todd Roseberry
P: 404-541-3500
F: 404-541-3535
Keller Williams Realty Atlanta - Peachtree Battle 2345 Peachtree Road
Atlanta, GA 30305
Team Leader: Cynthia Lippert
P: 404-604-3800
F: 404-604-3801
Keller Williams Realty Atlanta - Buckhead
3365 Piedmont Road Suite 1050
Atlanta, GA 30305
Team Leader: Russell Barber
P: 404-969-1600
F: 404-969-1550
Keller Williams Realty Atlanta - Decatur 315 West Ponce de Leon Avenue, Suite 100
Decatur, GA 30030
Team Leader: Christopher Bennett
P: 404-564-5560
F: 404-564-5561
Keller Williams Realty Atlanta - Peachtree Road 3925 Peachtree Rd., Ste. 200
Atlanta, GA 30319
Team Leader: Brad Feiman
P: 404-419-3500
F: 404-419-3501
Keller Williams Realty Atlanta - Smyrna/Vinings
3350 Atlanta Road SE
Atlanta, GA 30080
Team Leader: John Fountain
P: 770-874-6200
F: 770-874-6300
Keller Williams Realty Atlanta - Sandy Springs 200 Glenridge Point Pkwy, Suite 100
Atlanta, GA 30342
Team Leader: Steve Kout
P: 404-531-5700
F: 404-531-5708
Keller Williams Realty Atlanta - Perimeter East
1957 Lakeside Parkway, Suite 520
Tucker, GA 30084
Team Leader: James D. Hamby
P: 678-252-1900
F: 678-252-1909
Keller Williams Realty Atlanta - Perimeter North 115 Perimeter Center Place, Suite 100
Atlanta, GA 30346
Team Leader: Connie Carlson
P: 678-298-1600
F: 678-298-1616
Keller Williams Realty Atlanta - South Fulton 3800 Camp Creek Parkway
Atlanta, GA 30331
Team Leader: MERRILL JOHNSON
P: 404-564-9500
F: 404-564-9501
Keller Williams Realty Atlanta - East Cobb
3730 Roswell Road, Suite 150
Marietta, GA 30062
Team Leader: Deborah Blue
P: 770-509-0700
F: 770-509-5097
Keller Williams Realty Atlanta - Clayton County
21 Highway 138
Riverdale, GA 30274
Team Leader: MARVIN BROWN
P: 770-603-6767
F: 770-603-7887
Keller Williams Realty Atlanta - Chattahoochee North
3930 E. Jones Bridge Road, #100
Norcross, GA 30092
Team Leader: Mike Moulder
P: 678-578-2700
F: 678-578-2710
Keller Williams Realty Atlanta - West Cobb
2651 Dallas Highway
Marietta, GA 30064
Team Leader: Kim Jeans
P: 678-631-1700
F: 678-631-1701
Keller Williams Realty Atlanta - Roswell
695 Mansell Road Suite 120
Roswell, GA 30076
Team Leader: Denise Buchanan
P: 678-287-4800
F: 678-287-4801
Keller Williams Realty Atlanta - Stockbridge 117 Eagles Landing Parkway
Stockbridge, GA 30281
Team Leader: Deb Nardy
P: 770-692-0888
F: 770-692-0880
Keller Williams Realty Atlanta - Sugarloaf 2170 Satellite Blvd, Suite 195
Duluth, GA 30097
Team Leader: Paige Powers
P: 678-775-2600
F: 678-775-2637
Keller Williams Realty Atlanta - Woodstock 220 Heritage Walk, Suite 101
Woodstock, GA 30188
Team Leader:Darla Smith
P: 678-494-0644
F: 678-494-0645
Keller Williams Realty Atlanta - North Fulton 5780 Windward Parkway, Suite 100
Alpharetta, GA 30005
Team Leader: Scott DeRuiter
P: 770-663-7291
F: 770-663-7481
Keller Williams Realty Atlanta - Northeast
2346 Wisteria Drive, Ste. 120
Snellville, GA 30078
Team Leader: Janice Baldwin
P: 678-808-1300
F: 678-808-1308
Keller Williams Realty Atlanta - Paulding
76 Highland Pavilion Court Suite 125
Hiram, GA 30141
Team Leader: David Taylor
P: 770-874-5333
F: 770-874-5334
Atlanta - Fayetteville
148 East Georgia Ave
Fayetteville, GA 30214
Team Leader: KIMBERLEY ESTES
P: 770-461-7115
F: 770-461-7105
Atlanta - Douglasville
3294 Highway 5
Douglasville, GA 30135
Team Leader: Sandy Minor
P: 678-564-3600
F: 678-564-3601
Atlanta - South Forsyth
3325 Paddocks Pkwy., Suite 190
Suwanee, GA 30024
Team Leader: Robert Moss
P: 678-341-2900
F: 678-341-2901
Millionaire Systems - Business By The Book Free Audio: ‘Business By The Books With Gary Gentry’
Every Monday, Keller Williams Realty’s Millionaire Systems hosts a free audio class for members of our real estate agent community. Each week we interview real estate professionals who are building their real estate businesses by using the systems and models presented in our books. Whether you are a new or experienced real estate agent, or even considering starting a real estate agent career, these insightful interviews provide listeners with a real world perspective of “Business by the Book’!
Gary Keller’s first agent, Gary Gentry, shares his journey with host Dave Jenks. Find out how he gets his real estate message across to potential clients and how he’s steadily grown his business year after year
Keller Williams Realty’s Mega Camp Sets the Stage for Success During Any Real Estate Market
Mega Camp Sets the Stage for Success During Any Market
Proven models, leading-edge systems provide framework for success
AUSTIN, TEXAS (September 5, 2007) — Committed to providing agents and market center leaders with targeted training and tools designed to build their businesses during uncertain real estate market conditions, Keller Williams Realty attracted more than 5,000 associates and guests to its annual week-long Mega Camp event August 20-24.
Mark Willis, CEO, Keller Williams Realty, emphasized that real estate markets such as the current one, ”offer untold opportunities for agents to differentiate themselves on the basis on skills, service and knowledge,” and urged attendees to refine their resolve to sharpen skills and “make lead generation a daily discipline.”
Indeed “understanding the need for two to three hours of lead generation every day is central to success in real estate,” emphasized Gary Keller, co-founder and chairman. “You need to get focused on the one thing that is going to make your business thrive in this market,” Keller emphasized.
Introducing Keller Williams University’s (KWU) new Lead Generation 36:12:3 course as the “new cornerstone of KWU’s curriculum,” Mary Tennant, president and COO, pointed out that the intensely researched curriculum provides a proven pathway for agents to:
Close at least 36 transactions,
In 12 months,
By committing to 3 hours every workday on lead generation,
“This groundbreaking course is our most important new focus as a company right now,” added Willis. “It’s about arming our agents with practical guidance and a set of skills to raise productivity and to help them to generate a consistent and continuous pipeline of leads.”
Mega Camp also provided a forum for the introduction of the new Luxury Homes by Keller Williams program. Slated for an Oct. 1, 2007 debut, Luxury Homes by Keller Williams will provide qualifying members with access to international networking capabilities and distinct branding and marketing opportunities.
Of course, no major Keller Williams Realty event would be complete without the company’s signature cultural component. KW Cares, a 501(3)(C) nonprofit created to support associates throughout North America during times of severe hardship, grossed more than $250,000 during Mega Camp. Revenues resulted from ticket sales to a Kenny Loggins concert sponsored by KW Cares, live and silent auctions and general donations.
Keller Williams Realty’s Millionaire System Flipping Seminar Is Coming To Florida(December 7, 2007)
Keller Williams Realty’s Millionaire Systems Presents: FLIP: How to Find, Fix, and Sell Houses for Profit
Based on The New York Times best seller FLIP: How to Find, Fix and Sell Houses for Profit, this seminar will take your real estate skills to the next level and turn you into a profit-spinning real estate investor.
In our one-day, interactive FLIP seminar you’ll learn to:
Target houses with real profit potential.
Separate suspects from prospects and make smart offers.
Determine what improvements are your best investments and how much they’ll cost.
Tap into the skills you already have to make a lucrative and rewarding investment! If you’re a real estate agent, you’re already one up on the competition!
Date: Dec. 6, 2007
Location: Majestic Beach Resort, Panama City Beach, Fla.
Speaker: Gene Rivers
Time: 9:00 a.m. to 4:00 p.m.
Who: agents, team leaders, operating principals, market center administrators, investors, Keller Williams prospects and guests!
Price: $129 (with advance registration. Includes a copy of FLIP
Keller Williams Realty Agent Training: Wealth Building Wednesdays - ‘Painting It Red in Hotlanta’
Keller Williams Realty Agent Career Training: Wealth Building Wednesdays
The Real Estate Company of Choice
While a real estate agent’s success will ultimately be determined by their own motivation, wisdom and skill, their company provides the environment in which their success will be supported or hindered.
In 1999, Shaun Rawls decided to join a new real estate firm that had never existed in Atlanta. Just seven years later, it is the fastest growing real estate company in the city with over 5,000 agents. He shares how and why so many agents made the same change he did.
Important Questions To Ask When Starting or Continuing Your Real Estate Career
Twenty Questions Every New & Experienced Real Estate Agent Should Ask
Who you are in real estate business with matters – how they treat you is critical to your
success. Here are 20 important questions to ask about the real estate company
or franchise system you are currently with, or considering joining:
1. Does the real estate company allow you to build your own real estate agent brand? Can youput your own logo, name, phone number and agent website on real estate yard signs
and in your ads? Can it be larger than or as prominent as the
company’s?
2. Does the real estate company allow you to directly receive the sign calls or
inquiries on your own real estate listings without going through the up-desk or
office switchboard?
3. When a person is seeking you on the company’s local or national
website, can they quickly (within two or three clicks) get directly to you,
your own agent website and your own business phone number?
4. Can you do agent-to-agent referrals without going through the real estate
company’s relocation division and paying them a portion of your agent
referral fee?
5. If you decide to leave the company do they let you take your real estate listings
with you? Do they still pay you the same agent commissions you were owed
on your pending real estate transactions - without any penalties or reduction in
commission splits?
6. Does the company seek your input and advice on important financial
and policy decisions? Do you have a say in what goes on?
7. If you are a top producing real estate agent do you get to serve on a agent council that
discusses and votes on company changes in policy and fees?
8. Does the company open its books and allow you to see and review
monthly financial records – such as Profit & Loss statements?
9. Does the company offer you an opportunity to share in its profits? Is
the profit sharing amount greater than 30% of the company’s net
income?
10. Do you have the opportunity to earn residual income from the company
that will continue even after you leave the company or retire?
11. Does the company cap the money you pay it on an annual basis
(Company Dollar), so that you do not have to keep paying them on all
your production?
12. If you are affiliated with a National Franchise, do they cap your
royalties (or service fees) annually, so that you don’t have to keep
paying them a portion of all your commissions?
13. Does the company allow you to earn 100% commissions without
having to pay monthly fees even when you don’t have closings?
14. Does the company provide a way for you to actually earn more than
100% - to be paid more by the company than it costs you to be with
them?
15. Does the company provide all levels of sales and business training –
from the fundamentals of real estate sales all the way up to hiring staff,
building a team, managing your expenses and creating a business?
16. Does the company provide wealth-building information and training?
Do they give you good advice and consulting on how to gain financial
independence?
17. Do the leaders of the company take the time and make the effort to
share with you research, strategies and systems that you can use to
improve your business and your career?
18. Have the leaders of the company written best selling books that are
used and respected in the real estate industry? Do they speak with
knowledge and authority on the issues that matter to the agents?
19. Does the company have a set of written beliefs and values that it
shares and sincerely seeks to live by? Does the company have a spirit
and culture of teamwork and positive energy?
20. Is the company clearly agent-centered? Does it understand that the
consumer selects the agent, not the company? Does that awareness
show up in the way the company does business?
The answers to these questions may help you understand which company you
want to be with – which one will provide the most support for achieving your own
personal and professional goals.
The interesting thing is this: at Keller Williams Realty the answer to everyone one
of these 20 questions is YES!
Keller Williams Realty Launches Operation Heart to Heart 2 Website
Operation Heart to Heart 2 — Infusions of expertise to energize profitability
New Website launches!
To help Keller Williams agents and market centers survive in today’s market, Keller Williams Realty International is investing in a number of special programs.
Deemed Operation Heart to Heart 2, and in the spirit of a company-wide effort in the wake of Hurricane Katrina, this action-focused, outreach program brings tools and support to you in response to the condition of today’s challenging real estate market.
Initiated in late October, it includes a new Website authored by Keller Williams Chairman Gary Keller (www.agentmountain.com) featuring audio, video and other materials relevant in this market; a new nationwide, skills-based seminar tour, Thriving in a Shifting Market; a Web portal for scripts and training products and regional courses to teach you the dos and don’ts of enhanced financing options for their clients.
Free Sites
Gary Keller’s new production boosting website
Real estate training on the run
Interviews providing a real world perspective on “Business by the Books”
Keller Williams Realty’s Wealth Building Wednesdays - The Company Of Choice
Keller Williams Realty’s Wealth Building Wednesdays
The Company of Choice
While an agent’s success will ultimately be determined by their own motivation, wisdom and skill, their company provides the environment in which their success will be supported or hindered.
After 15 years with them, Chris Heller was one of the top agents in the entire Prudential System. He hadn’t heard of Keller Williams until a friend called him. His curiosity led him to investigate the company, and in his own words, he was “blown away” – here is why.
Why Choose A Real Estate Career At Keller Williams Realty?
“The greatest transfer of wealth and opportunity are in down cycles not up cycles. What you feel about your market is one thing. How you deal with it is another.”
Most important secret of the real estate industry: A National Association of Realtors survey of consumers determined that 86% chose a real estate firm for no other reason than because of an individual agent. This fact is proven time and time again. Whenever a real estate agent switches from one brokerage to the next, ‘their’ clients follow. YOU are the reason people do business with you and you should build your career on this fact!
At Keller Williams Realty, we recognize that the agents are the reason we do business.Our agent-centric business model is based on the belief system that the agents should be treated like partners. As stakeholders in the company, our agents:
Are empowered to take leadership positions that impact the direction of the their office and the company. **Only national real estate company to ‘open the books’ to the agents.
Share their ideas, secrets and models by teaching the training and educational classes***
***It is this unique culture, that continues to be the greatest benefit of affiliating with our company. By sharing ideas, all of our businesses go to a higher level, thus creating more profit sharing for the office and the agents. A True Win-Win! This is what gives our agents an advantage over other agents at more traditional companies, where typically an agent’s greatest competition is within their own company and office.
As a result of this innovative model, the secret of our growth (Now the 4th largest company in the country!) continues to be our high level of agent productivity andagent retention.
How Are Real Estate Companies Different? It’s All About Agent Loyalty!
If you understand the ‘Why’s’ of real estate companies, the ‘What’s’ will make a lot more sense. I think that the biggest ‘Why’ of them all, is the ‘Why of Loyalty’. There is no other industry, in which the sales force(agents) are more of the product, then in the real estate industry. We are the reason that customers work with us…not the real estate company that we are affiliated with. It’s been proven time and time again. When an agent switches companies, THEIR clients follow them. The National Association of Realtors states that 86% of customers choose a real estate company because of the individual agent…not the company!In most traditional real estate companies, the money and resources are spent on promoting their brand to the consumers instead of spending those resources on training, education and technology for the agents. You see it today with their commercials on TV, print advertising, sponsoring sporting events, etc…. The reason that they have this mentality, is that loyalty has never really been a big part of the real estate industry. If an agent understands the concept that they are the reason they do business, then they would just take their clients and relationships to another company that offers a better commission split, training and support.
You can not blame these traditional real estate companies for having that mentality. If I was running one of those companies, and I knew that there was a better model of a real estate company for my agents to work under, I would do the same thing. The bottom line, is that if you can not keep your agents(loyalty), why would you invest money and energy into them, if they are going to leave your company a year from now and go to another company?
This is why Keller Williams Realty is the fastest growing(Now the 4th largest in the country) real estate company. When you share the profits with the agents, empower them to take leadership roles in the office that impact the direction of their office, offer them the best commission split, open the books to the agents, create a culture where there is an incentive for the agents to share their ideas and models, offer the best agent training, support and technology…why would they ever leave your company?
If there was ever a sign of the trends of the real estate industry, I think this is it. Keller Williams Realty is the fastest growing real estate company in the country, and we do not spend a cent marketing the Keller Williams Realty brand to the consumers. Instead of spending that money on promoting the KW brand, we spend that money on the agents(training, technology and support). So why are we growing so fast? It’s simple….we are just the best place for real estate agents to run their business!
When you do not have to worry about your agents leaving(loyalty)…it changes everything!
A Real Estate Career With Keller Williams Realty in Atlanta, Georgia
A Real Estate Career With Keller Williams Realty in Atlanta, Georgia
Keller Williams Realty is an innovative and exciting real estate company offering unique opportunities which are typically unavailable to real estate agents:
Our agents have input into the decisions of the company relating to policies and expenditures through an Agent Leadership Council comprised of the Top 20% of the agents in the market center (office).
We’re an “open book” company where the market centers’ profit and loss statements are available to all the agents.
The 100%, no risk commission structure is appealing to agents who want to keep more of their commission without being obligated for a monthly fee.
Keller Williams University offers higher level courses based on business concepts which provide systems and a blueprint for building agents’ business to 7 levels. The curriculum includes courses on life-balancing and principles of leadership as well as developing specific skills related to real estate.
We have an agent driven Internet Consortium featuring numerous Keller Williams Realty sponsored websites, as well as funding for research to keep real estate agents in the center of business on the Internet.
We believe that profits should be shared with the agents who contribute to profitability and who help to grow the company. Agents have created the profit and growth, and they deserve to be rewarded. We also share profits with our staff when they help to grow the company.
Keller Williams Realty encourages a team environment centered around sharing.
Our referral network across the United States provides opportunities for increased business.
Keller Williams Realty Atlanta Office Locations:
ATLANTA - BUCKHEAD
3365 Piedmont Road
Suite 1050, Tower Walk
Atlanta, GA 30305 Submit Career Interest
ATLANTA - WOODSTOCK
220 Heritage Walk, Suite 101
Woodstock, GA 30188 Submit Career Interest
A Real Estate Career With Keller Williams Realty in Austin, Texas
A Real Estate Career with Keller Williams Realty in Austin, Texas
Keller Williams® is the fastest growing(Now the 4th largest in the country) & most innovative company in real estate today. As a learning-based company, we focus on continuing training and support for all of our agents. Find out how you can be a part of it.
2006 Awards:
Austin Business Journal
Top 25 Private Companies in Austin, Texas
Top 25 Fastest Growing Companies in Austin, Texas
2005 Awards:
Texas Monthly and the Best Companies Group
Top 50 Best Places to Work in Texas
A Real Estate Career With Keller Williams Realty in Nashville, Tennessee
A Real Estate Career With Keller Williams Realty in Nashville, Tennessee
Keller Williams Realty is the fastest growing(Now 4th largest in the country) and most innovative real estate company. Our agent-centric model is based on the belief system that the real estate agent should be treated as a partner.
Keller Williams Realty Nasvhille Office Locations:
In most traditional real estate companies, the commission structures means that the more you earn, the more you give away.
At Keller Williams Realty®, we believe that the harder you work, the more you should be rewarded. Keller Williams Realty has a commission cap, which means that after you hit the cap, everything else you earn is yours!
The agent is on a 64/30/6% split. ***
64% goes to the Agent ***
30% goes to the Market Center (variable cap)
6% goes to KWRI (capped consistently at $3,000)
The Market Center cap is determined by associate vote(the agents are treated as partners/stakeholders), based on operating expenses and economic conditions of that market. The cap for the international fee does not fluctuate.In both cases, once an agent hits the cap, the money for that year is the agent’s…and Keller Williams Realty works on the agent’s anniversary year, not a calendar year, so no matter when you start, you have a full year to prosper!
Example:
In the Atlanta Market, the agent cap to the office is $15,000. If an agent does $200,000 in Gross Commission, they will net $182,000.
$200,000 Commission in 12-month anniversary year
- $15,000 to office
- $3,000 to KWRI
= $182,000
With the addition of the company’s unique profit sharing model, many of our agents make more than 100% of their commission(profit sharing exceeds their cap payout)!
By: Gary Keller, Founder & Chairman of Keller Williams Realty
The formula is straightforward-think big, act bold, and you’ll live a larger life. To be totally honest, the end goal of this book is not necessarily to teach you how to put a million dollars in the bank every year. Even though we do offer a complete and accurate analysis of that pursuit, the real purpose of The Millionaire Real Estate Agent is to encourage you to live large.
Your foundational models form the base you must have BEFORE adding creativity in order for it to be successful.
Leads—Until you have enough to hit your goals, everything else is a distraction
Listings—Take less of your time and provide more opportunities to market your business
Leverage—When you’re doing all you can, get help
Common MythUnderstanding:
Myth: Having a goal and not fully realizing it is a negative thing. Truth: Having a goal and not trying to achieve it is a negative thing. Talk about an example in your life when you’ve faced your own limiting belief. Encourage others to share their own challenges and how they have overcome them.
The Attack Strategy (The Nine Ways a MREA Thinks) – Let’s take a look at the way you are attacking your business. Are you clear about your motivations? Are your goals big enough to pull you toward them? Are you caught up in the problems? Are you committed and have you articulated your standards and service?
