Property management can be a rewarding business. It is important to get started in a way that will ensure your success. Starting up a property management company requires dedication, commitment and hard work, as well as some technical expertise and equipment. Here are some tips to get you moving in the right direction.
Tip #1: Establishing Your Business
Just like any other business, to start a property management business, you need to establish your company legally. You can do this by hiring an attorney or even by yourself online, if you are up to the challenge. You will need to register your business as a Limited Liability Corporation (LLC) or an incorporated business (Inc.).
Tip #2: Setting up Your Office
Once your business is legal, you need to find a place from which to operate it. You can decide to work from home at first, which will help eliminate overhead and expenses in the early days. You need to set up your website and get an email account for your business. Once you have a computer and a printer, you will be able to get started. You will also want to purchase property management software to help you organize your business.
Tip #3: Finding Clients
One of the best ways to locate clients for your business is through networking. Design, print and distribute business cards to share at events and other networking opportunities. Create connections with real estate agencies and local businesses. Banks can also be a good place to find leads, as they may be looking for property managers to deal with properties for which they are responsible. Contractors will also be able to introduce you to some clients.
Tip #4: Advertising your Business
Once you have begun to build up your client base, advertisement is critical to finding clients and tenants. The property management software system should be able to help you with this. You should advertise your services both online and through other channels, like newspapers and trade magazines. You can hand out fliers to local business owners who have become strong contacts and finding ways to get your contact information into as many hands as possible.
Tip #5: Finding Tenants
Once you have started up your business and have acquired some property, you will have to fill up your rental units with tenants. This may seem like an easy task, but you want to be sure that you find tenants who meet the standards that you want to uphold for you property. This will make your job easier in the long run. The ideal property management software will accept online tenant applications and perform background checks, as well as offer accounting and maintenance modules.
Starting a new company always has its challenges. By following these tips and investing in the right software, you will be off to a great start that makes success possible.