Just checking our records, folks - December 29th is our One Year Anniversary at KW.  It's been a full year since Dean's Team Chicago joined Keller Williams Fox Realty, in the Lincoln Square Neighborhood on the North Side of Chicago, and the KW System.

SMARTEST MOVE WE COULD HAVE MADE!

Had to think a bit before I committed to take the plunge.  Here in cold Chicago, there still a number of people saying "Keller, WHO?"  A few others think that Keller Williams is an independently-owned office of Century 21, or Coldwell Banker.  Every day, more and more are beginning to realize that we are one of the largest real estate companies in North America, with over 77,000 agents right now, and growing every day.

However, people, this is not meant to be a commercial or plug for KW - although I would strongly suggest you consider the concept, either as affiliated agents, Team Leaders (Managing Brokers), Operating Principals (Market Center or Office/Regional Owners) - or, of course, as clients of a Keller Williams Professional.

Now that we have settled in here at KW in Chicago, I just wanted to recap some of the positive things that made the move a year ago our best option, and address some of the comments and criticism leveled from others not yet part of KW.

No disrespect intended for those with other companies - just our observations here, from our experiences, for your review and consideration.

First, the GOOD - the reasons why we made the move.

KW embraces the TEAM CONCEPT.  The idea of a REAL ESTATE TEAM will be the future of this industry, as our seller and buyer clients will demand more and more from their real estate professionals.  While other larger franchises give lip service to Team - KW actually embraces and encourages Team building.  We were welcome and respected for the way we work here.  Other offices and franchises we spoke with, including our former Century 21 office, looked at us as a threat, as a financial liability.  Or, they had no concept of what the benefits of a Real Estate Team, under the umbrella of their own office and franchise banner, might be.

KW embraces PERSONAL AGENT BRANDING.  The overall company philosophy is one of having the AGENTS succeed, rather than having the agents work to make to CORPORATE BRAND succeed.  Agents and Teams here at Keller Williams are free to custom-design their own Team or Individual Logo, Corporate Identity and Mission Statement,  and Brand Strategy, and promote the KW name secondarily.  We feel more like the company is helping us build our own business, rather than us working as "employees" for them.

KW believes in TRAINING & SHARING.  Keller Williams annual Family Reunion Event, Masterminds, Mega Agent Camp, KW Connect Online Streaming Videos, 4/4/3 New Agent Training, Internet Marketing Systems, Technology Training, Dialogue Library, and new 36/12/3 Lead Generation System is state of the art, and low cost to agents and Team Leaders.  The culture here is one of SHARING - top producing agents here are expected to share with new agents, to train them, and to teach them.  "You Get By Giving," according to our mentor, Floyd Wickman, is alive and well here, everyday.  His thoughts are echoed by Keller Williams Founder Gary Keller (still very active in our business), and his management Team in Austin, TX.

KW has state-of-the-art TECHNOLOGY as well.  Every agent can have his own FREE, professionally-designed website, with his or her own branding and corporate identity.  Top-level online Goals Tracking.  Weekly telecalls from many of the top agents and trainers in the system.  More!  When I first came to KW a year ago, I had no idea about some of the Internet tools available to us - our Team changed our web presence quickly, and the resulting incremental income and lead generation has been phenomenal!

KW has a cooperative culture which will allow you to post your Team members AT OTHER OFFICES THROUGHOUT THE AREA.  This helps if you work a larger geographic area, where outlying offices would be more convenient for clients living or looking to live further away.  I treat other Keller Williams offices in the Chicago area as our "satellite offices," in the eyes of our clients.  They provide a natural, professional place to meet while operating away from your home office, and it sure beats writing contracts and earnest money checks, without privacy, in a Starbucks or a Kinkos, or on the hood of your car.

KW is an OPEN BOOKS COMPANY - and Profit and Loss Data is Openly Available for all agents within a market center and region.  Didn't have this at our previous, family-owned small Century 21 office.

KW has an AGENT LEADERSHIP COUNCIL in each office, comprised of volunteers from the Top 20% Producers in each office.  These ALC agents help steer the business side of the office, set agent policies, help form operating budgets, and provide iconic leadership for the entire office.  Here at the Lincoln Square Office on the North Side of Chicago, our ALC, of which I am a part, is planning an extensive office remodeling or relocation project, including financial analysis and considerations.

KW offers PROFIT SHARE.  Agents actually share in the profits of each local market center, and earn more as they build our system with other, like-minded agents.  This year, Dean's Team generated over $1,200 in profit share, in a slow market.  Not a million bucks, of course (although many agents have generated huge profit share contributions), but more than we would get anywhere else.

KW offers reasonable, region-wide OFFICE FEES/SPLIT, which are capped and accrued based on a 70/30 split with the company.  The caps range between $20,000 and $25,000 per year per agent, less for associate members on a Team.  These known caps provide better expense predictability for the agent or Team leader for busines planning purposes.  When the cap is paid off each year, the primary agent earns 100%, and an individual leader of a Team within an office has more flexibility and profitability when paying his staff and associated agents.   Assistants and Team Associates can be paid at a higher level, sooner, than with many other companies. 

KW offers reasonable, 6% ROYALTIES.  Lower than several of the other big franchises, the royalty is also capped each year, currently at $3,000.  When KW International is paid $3,000 out of an agent's 6% each year, there is NO MORE ROYALTY DUE for the balance of the year.  This fact alone has saved us over $9,000 versus Century 21.

There are intangibles as well.  The culture of INTERDEPENDENCE and MENTORSHIP.  Of SHARING and HELPING.  Of working in a POSITIVE ENVIRONMENT, especially in a sluggish Chicago Real Estate Market.

All have served us well!

Any NEGATIVES?  A few, some might say.

Our KW office, and the franchise as a whole, does not spend a lot of money on image advertising - this leaves the agents to spend money on what they need to promote their OWN businesses.  Newer agents may see this as a negative at first - there is no spoon-feeding of ad money here - until they realize when THEY take the initiative to make their business grow, they can grow farther and faster than if they simply rely on piggybacking on the broker's or corporation's image or lead generation programs for the company. 

ADDING TO THE TEAM, and Recruiting, is given priority here, and there is pressure to add others to each office.  But adding successful agents only adds to office profitability, and greater opportunity for KW Profit Share.

Finally, PROFITABILITY is key here, as it should be, for both the office and the agent.  Some of our offices don't spend tons on new computers, spiffy interior design, loads of "perks" - although we always have to keep an eye to the future.  We attempt to spend money wisely as an office, and counsel agents to "Lead With Revenue" in their own real estate businesses.

Our SUMMARY STATS for END OF YEAR, 2007 -

Our Team Gross Revenue (GCI) has increased by 4% this year.  But our NET INCOME has grown 9%- in a shifting, sluggish, "buyer's" market here in Chicago.  Although we earned more Gross Revenue, our Royalty Expense decreased over $7,400 in 2007, and our Office Fees/Split Expenses dropped by nearly $5,500.  Our personal marketing expenses increased about $4,500, since we had additional expense in promiting our move - but, overall, the earnings split was positive!  Good move, from a numbers perspective.

Feel free to visit kw.com for more information on the company, if you'd like - or call or write if you would like to discuss further with any of us on Dean's Team.

As always, we very much welcome and appreciate your thoughts, feedback, and comments.

AGAIN, KELLER WILLIAMS WAS THE SMARTEST MOVE WE COULD HAVE MADE! 

Happy New Year, 2008 - Let's all make it a successful, prosperous, and less stressful one!  Be safe!

DEAN & DEAN'S TEAM CHICAGO