Lars Hedenborg warns real estate agents that scaling from solo practice to a team means hiring people who will quit. Growing GCI from $250k to $2.5M requires overhead for staff and systems, but most new hires fail within months anyway.
There's a little bit at least more perceived risks. Risk, right. So if you go from 250,000 to 2.5 million of GCI, chances are you're going to have some overhead running that business. When you're a solo agent, you're selling 25 homes a year, you probably don't do any lead generation, you probably don't have any administrative staff, you probably don't have a physical office. So the con is that you have to make sure you have the right economic model in place. You have to make sure that you're looking at your financials, you have good tracking systems in place, all the things that we teach our members in real estate B school. Yet if you're not prepared to do that, you have to make sure you get those systems in place ahead of it. I'd say another con is that you are going to be disappointed by people that we work with. You're going to invite people into your world. You're going to think they have all this potential to succeed. You're going to train them for two or three months and they're going to tap out and say, hey, this is not for me. And you're going to lose that time. That is 100% guaranteed to happen.
