A real estate brokerage makes money primarily through selling properties. In short, a real estate brokerage depends primarily on the capability of its real estate agents to arrange and close deals as quickly and efficiently as possible. For the most part, this is a matter of skill and talent combined. However, it’s also true that there are people behind the scenes who help make things happen.
Enter: The Back Office
While real estate agents and brokers handle the customer-facing side of the business, those in the back office like accountants and document managers ensure the smooth flow of business activities. In essence, they’re the backbone of any company. Through their work, a real estate brokerage can keep up with bill payments, taxes, employee development, inventory management, clerical paperwork, and so much more.
This is why it’s a good idea to look into back office tools and software, like the one you can find in www.brokerkit.com. Doing so can make day-to-day operations much smoother, and also provide even more support to real estate agents.
What Kinds of Back Office Tools Do Real Estate Brokerages Need?
In the simplest of terms, back office tools are used to simplify and streamline back office operations. Many workplaces can benefit from such solutions, especially those that handle the following:
- Accounting and finance
- Timekeeping and payroll
- Human resource (HR) management
- Regulatory compliance
- IT services and network management
- Data management
That being said, there are also back office tools that are more valuable for real estate professionals. These include the following:
For the most part, recruitment can be classified as a front-office task because recruiters work directly with clients (i.e., job applicants or candidates). However, keep in mind that many companies let their HR departments handle their hiring needs. In this case, recruitment is also part of the back office.
Fortunately, real estate brokerages have plenty of recruitment software to choose from. The key is to find one that has all the features you need, particularly with regard to lead generation, interview scheduling, and drip campaign automation. It’s also useful to have retention software or features built into the main platform, so you can also work on keeping your best performers happy.
Aside from property sales contracts, titles, deeds, and taxation documents, real estate professionals also have to deal with the usual business documentation. These include registrations, invoices and billings, client correspondences, and the like. Without a proper document management system in place, everyone in your brokerage will drown in documentation; you may even end up paying penalties.
The good thing is that much of the paperwork required for real estate transactions can be digitized. This makes things a little easier to sort, search, and share. In addition, document management tools can help with file security with features like access level control and password encryption.
A transaction management tool allows agents and brokers to manage all transactions and transaction-related data in a centralized system. This way, it’s easier to track the progress of a sale and ensure compliance with local and state regulations. Some document management systems also come with transaction management features or can integrate multiple tools. Make sure to check which system has the most features you need so you can save on costs and avoid having to log in to too many accounts.
Other useful back office tools for real estate brokerages include:
- Business intelligence tools
- CRM platforms
- Lead management
Again, many providers come with multiple features or integration capabilities. To know which platforms are the most suited to your organization, it’s best to conduct a thorough needs assessment.
What Are the Benefits of Back Office Tools and Software?
There are plenty of benefits that can be enjoyed from utilizing back office tools. One of the most obvious is improved efficiency, which directly translates to increased profits. In addition, efficiency also means you can handle transactions faster. This can positively impact customer loyalty and public perception.
Many back office software also automates a variety of processes. This results in fewer errors, thereby minimizing financial losses related to such. Another benefit of using technological solutions in the back office is real-time data generation and access. Every concerned party can then access said data, which can help with better decision-making.
A real estate brokerage needs its agents, but it also needs a robust support group working in the back office to ensure that everything works as smoothly as possible. Fortunately, technology is on your side. With a host of back office tools now available, your real estate brokerage can improve or even completely overhaul the way it does business.
If you haven’t been using technological solutions until now, do note that there will be an adjustment period; you’ll also have to invest some money to purchase the systems and keep them updated. That being said, the time, money, and effort you put into back office tools will definitely be worth it.