Diversion or a direction?

Fee-based brokerage services succeed because there are more services to provide than deals to close. About 75% to 86% of the time, a client is not leasing or moving, and no sale occurs. Some brokers bundle services, while others stay strictly advisory. The most common advisory services include feasibility studies for new developments, appraisal, property and asset management, due diligence, evaluation, zoning and development services. Once services are identified, determining compensation is the next step. At least 6 alternatives exist: 1. dollars per hour, 2. flat fee per day, 3. quoted fee per project, 4. retainer, 5. fee plus incentive, and 6. fee plus commission. To pursue fee-based services successfully requires a business plan. The plan should outline goals and strategies to reach them, such as support and resources required, method of contact, number of clients and account relationships. Tasks might include a mailing plan, advertising plan, promotions, conventions, press releases, sales letters, and contact lots.