Speaker 1 (00:00):
I know you've seen one or more of these. It's two charts next to each other. And on one side is what we expect on the other side is the reality. And a simpler way to think about that is that so often and more often than we expect the right thing to do is to take one step back before we take those next two steps forward. And that's a theme in this conversation today with Marcus Lorea. Not only is he the founder and team lead of Palm Paradise Realty Group, he's also the co-founder of an FDA certified medical device company, stellar Medical. So he shares his transition from the medical device industry into real estate. Why that was his passion, why the team model made so much sense to him, practical things like his first two hires and how he leveraged both of those very practical and tactical things. By the way, some of the language that he uses is r and d, not research and development, but rip off and deploy and he certainly shares plenty that you can rip off and deploy yourself in this conversation. It's an absolute joy. He shares three specific moments where he had to take a step back before taking two steps forward, maybe actually three steps back before eight steps forward. But it's a compelling conversation, it's a useful conversation, it's a joyful conversation. I hope you enjoy it. Here's Marcus Lorea on real estate team os.

Speaker 2 (01:18):
No matter where your business is today or where you want to take it, you'll get there faster and more profitably with an operating system. Welcome to Team Os, your guide to starting, growing and optimizing real estate team. Here's your host, Ethan Butte.

Speaker 1 (01:33):
Marcus, thank you so much for sitting down with me. I love that we get to do this in person.

Speaker 3 (01:37):
Yeah, awesome to be here. Thanks for having me on the show. Yeah,

Speaker 1 (01:41):
So I'm going to start with our standard opener, which is what is a must have characteristic of a high performing team?

Speaker 3 (01:47):
Man, there's so many. You listen to everyone, team leads and you're going to get a lot of the same answers. Consistent execution. You got to be a risk taker, you have to be comfortable failing, you have to be competitive, you have to have positive energy. There's so many. The one that I'd like to elaborate on is a competitive factor that I think a lot of people may or may not have touched on and it reminds me of a story with Michael Jordan from the last dance. There was a player on the Washington Bullets who had a great game against Michael Jordan and Michael Jordan. Literally it was a back, back to back games and Michael Jordan literally made up a story about him and destroyed him in this second game. And this guy was like a role player. He wasn't even a star or anything. And it just goes to show whatever you're driving forces, whether it's pain, A lot of people say pain is the biggest motivator in life and in competition if you can find a source of pain to drive you towards success, I think that's a very big factor in not only just a team lead, but to be successful in anything that you do.

Speaker 1 (03:07):
What drives you in that way?

Speaker 3 (03:10):
There's some deep dark secrets that could go down, but literally from a competitive standpoint, a lot of it's internal. Just because I make things up doesn't mean I respect everyone and I'm more than willing to help everyone out. But there's things, honestly, I've done the same thing that Michael Jordan did and just make things up about people in our market or people I've encountered internally to push myself to do better for me and my family. So I think that's something that I've a mental challenge within my own mind that's really driven me towards success.

Speaker 1 (03:51):
Really good. Have you been competitive your whole life and what were some of the first things that you started competing at? And we're getting into your real estate career is where I want to go, but when did this kind of spark come alive for you? Man,

Speaker 3 (04:04):
I've always been happy go lucky and my mom always said I got in trouble because of that. So yes, I've been competitive, but I've always had fun doing it. And I mean it started with sports being when I was a kid playing competitive soccer and throughout high school and college my focus started shifting At a certain point it took me a little bit, but started focusing more towards school and it's always been something in my life that I've tried to accomplish. I've always had goals and when I set my mind to something, I'll do whatever it takes to get to that point to achieve that goal.

Speaker 1 (04:45):
Cool. How did you find your way into real estate? How and when and how did you wind up doing your own thing?

Speaker 3 (04:51):
I come from a family where my dad is an entrepreneur. He is had an independent pharmacy for 30 years. So I come from a family of healthcare. My mom's a pharmacist, my brother's a pharmacist, I'm kind of the black sheep. But in 2009 I was in undergrad and started my first business, a medical device manufacturer. We do a lot of work with cancer treatment, still have that today, 15 years later I learned a lot from that business. We're FDA certified medical device manufacturer and I learned a lot with the FDA. It's all about systems and paperwork and quality systems management, QSM and always improving your quality systems. That's the biggest thing that they look for when you're dealing with FDA. And it was in 2016 when I got licensed, my girlfriend at the time, my wife now we got two beautiful kids together. She was just getting going with a career and just trying to figure out what to do.

Speaker 3 (05:53):
So I said, let's go get our real estate license. It was something I've always wanted to do selfishly, but I think I thought at the time that she would do really good with that and I thought it was something that I was going to do to help support her in her career out. Well little did I know at the time, but very quickly I discovered Zillow and it was really awesome. I could swipe my credit card and my phone would ring and I would take people out, I would get 'em under contract and it was really easy for me and it was enjoyable. Little did I know it at the time, I had no systems in place for that because I was busy kind of doing the other thing with the medical device still. And it was, I basically became instantly successful with that model, reinvesting all of my commissions back into Zillow at the time and then organically building a team within the first year of me being in the business.

Speaker 3 (06:48):
We had a team of five agents at the max office we were at and we were the top team there out of 150 agents and I knew we had something really special at that time. I'm an entrepreneur at heart, great office. I love the Max brand, but for me, I decided to go independent and open up an independent brokerage. And fast forward to today, we have three office locations across southwest Florida. We have an office in Naples, Fort Myers is our main office and then we have another office in the St. Pete area for an expansion team up there. So we're at 55 agents as of today with awesome staff on top of that. And yeah, it's been a really fun adventure. It's

Speaker 1 (07:34):
Awesome. You covered a lot of ground there, so I do want to get to the staff side of things and maybe how that's changed in the growth period since starting your own thing. But I want to double back into this idea of just because I want to knock down any questions or objections that people have about swiping your credit card and having leads. I would assume that for you generating true ROI and continuing to being able to reinvest in that channel to create some real margin on it is in a lead conversion and efficiency on that spend. And then the other side of it is probably turning that one deal that you were able to create in that way into two or three or four deals from that same initial investment over the years ahead. Do I have that correctly? And do you have any tips for people on either of those two kind of categories? Because I'm sure a lot of people bristled when they heard you say that, but I know that this is how so many people have built successful organizations.

Speaker 3 (08:39):
I say this all the time and this holds true for any business. Timing is key. There's a lot of luck and a lot of timing that has to all fall in place the right exact time for any small business. And for me, honestly, if we were to redo what we did back in 2016 today, it's not feasible. So the cost per lead across the board no matter what, the lead source has gone up tremendously and it just worked out and fell into place at the right time for me. And for me also, having the other business as a primary source of income was a massive luxury and blessing that I had personally to be able to reinvest literally all of my commissions, which I think that's for a lot of successful businesses. I always use the example of Amazon and Jeff Bezos in the beginning. If you go back and look, his investors were mad at him for not doing distributions earlier when they were profitable, but he just reinvested a lot of that profit back into his business and look at where they're at today and it goes back to making those sacrifices in the beginning of a company for long-term success.

Speaker 3 (09:51):
So that was one of the keys I think back then that I realized and there was a lot of challenges along the way and I know that's one of the things that you'll get into. But yeah, that's pretty much it.

Speaker 1 (10:04):
I love it. Sometimes this is just a little behind the scenes, especially for folks who've seen or heard several episodes. I sometimes think about the show as a form of a how I built this for real estate teams in particular. And Guy Ross always winds up asking kind of a question, luck timing type of question. I love that you brought that out on the table and recognize that and have that awareness. The ability to reinvest a hundred percent I think was probably super critical to really driving that momentum forward. High level question. You obviously started your team inside a re max office ended up starting an independent brokerage or team Orage I should say, past present, future of teams. When did team come onto your radar and why did it make sense for you at that time? What were a couple of the factors about going out on your own and where do you think we're going with regard to teams? I think there's some hype and misconception around all of it, but I also think that there's a very honest promise in the model itself too. So I'd love your kind of to go with around the model itself.

Speaker 3 (11:09):
Yeah, so the team model became very evident to me literally probably within two months in the business when I mentioned about swiping my credit card, taking people out, getting 'em to the property and getting 'em under contract, that to me lasted two months and I realized I had a problem and I had to do a drawback and build the systems out. It probably took me about six months to cut back on my spend and then build the systems and then move forward again. But it became very evident to me that I needed to put systems in place again synonymous with my other business, the medical device manufacturer. And for any business to succeed, no matter what industry, you have to have systems in place. And that was something I saw back in 2016, that few teams had systems in place, so that's a huge advantage.

Speaker 3 (11:58):
With my background, I thought that we could get this done and I discovered an awesome network of people, my coach, John Che, black, amazing person, and the network of people within real estate that I met and become good friends with a lot of these people that had those systems in place. So we call it r and d, ripoff and Deploy, and that's what we did at the end of the day. And I had that awesome luxury through coaching. But with regards to the future of teams, I say this all the time to agents, we're in a society, I call it the Uberization of society, and it started with Netflix and Blockbuster, most people, I think everyone knows the case study of that at this point where Netflix came along and Blockbuster had the opportunity to buy 'em out and they thought they weren't a threat.

Speaker 3 (12:50):
So Netflix ended up continuing on with their business model of DVD to your door in two days that you open your mailbox and your DVD would be there. That now has evolved to you want to watch a movie, you pick up your cell phone and press a button and your kids are entertained, you're entertained. It's instant gratification. With Uber, you order an Uber, if the Uber's 30 minutes away, you're going to cancel the Uber ride and try to find one that's closer with your groceries. There's apps out there where your groceries will show up to your door, you shipped all the time at home and they're at our door in an hour or two. So it's all about instant gratification. And in the real estate space, Zillow's done a great job of that. realtor.com has done a great job of that. There's a lot of big portals out there that that's their main goal.

Speaker 3 (13:42):
How fast can you get to the customer and as real estate within a local level, if you're an individual agent, you can only service at a proper level, maybe one or two clients like that at a time. And that's not scalable without a team. So that's the future of this business and it's been very evident if you look at the team production at a national level versus individual agent production at national level, they're completely opposite ends of the spectrum. Individual agent production is declining massively and team production is increasing at a massive rate. So that's only going to continue to get further and further apart with team production versus individual production and that's a future of the industry.

Speaker 1 (14:34):
Yeah, I agree with that. In general, it's one of the reasons we started this show real estate team os. OS is operating system. And operating system is everything behind the curtain that allows the agent to be out there as efficient and productive as possible. And when you're solo, it's just hard to have much behind the curtain. And with that, I would love for you to share, when I think about the os, I think about people, processes and technology as kind of categories. When you think about the growth of your own business, what have been a few key either people or systems and processes that you've implemented or tools or tech that you've put into place when you think back about like, gosh, I couldn't have gotten here without that lever, what are a couple of things that come to mind and where were you at that time?

Speaker 3 (15:23):
So I would say one of our first hires was a transaction coordinator. It was kind of a do it all, transaction coordinator slash ops manager. That was a key hire because we were developing the systems at the time as well. So everything that we were doing with that first hire we tried to document so that way we could start building these systems out. That took me realistically about a year to make that first hire. After we went independent about six months actually after we went independent and very quickly we hired a marketing person because you have to be on social media and that's one thing, it's like do as I say, not as I do because I personally have a love hate relationship with social media and myself, but it's a necessary thing that you should be doing if you're in this business. And so we hired a marketing person to help me out because that was one of my weak points.

Speaker 3 (16:22):
And now our social media is awesome. My personal one could be better, but our business page is amazing. We're consistently pushing out two pieces of content five days a week, and that's been doing that for probably about three years now. And then that's kind of cool too because all of our agents on our team have access, we share our raw files and all the copy with each one of our agents so they can put it as original content on their pages, it gets more views. So that's been a really, really cool part of our business. And then it's just grown from there. We have eight staff members now, ops manager, managing broker, marketing manager, recruiter, transaction coordinator, listing coordinator. So it's really cool how we've grown from an admin standpoint and support standpoint for our agents.

Speaker 1 (17:25):
That's awesome. Give me again, high level agent to staff ratio.

Speaker 3 (17:30):
Probably about eight agents per staff member.

Speaker 1 (17:34):
Okay, cool. Has that been steady over time or has that changed?

Speaker 3 (17:38):
It's fluctuated, but we've always been between that I would say seven to 11 range, seven to 11 agents per staff member. And that's what I've found in talking to other people, it's typically falls within that range.

Speaker 1 (17:54):
Cool. Tell me a little bit more about, because I feel like this is in terms of really good r and d, I think that's why folks watch or listen to a show like this is to rip off a good idea. And I think this idea of someone's generating this content and instead of just putting it out on a brand page, let's put it somewhere, just go one step deeper on this process. Is this sitting in a Google drive and in team meetings you periodically remind people that it exists. What is this system for sharing more of your content? So we

Speaker 3 (18:26):
Use Slack internally and we have a marketing channel within Slack and our marketing coordinator puts the raw file with the copy and all the tags and everything already there. So it's literally just copy and paste it into your Facebook or Instagram account and it's all in Slack and we actually remove a lot of the content from the Slack channel after 48 to 72 hours because that post might not be relevant in 72 hours. So that's been something we started doing probably about four months ago and we're getting really good feedback from our agents and they're getting a lot more likes on the post now instead of sharing it.

Speaker 1 (19:11):
Love it. It seems like a really nice value add. I also appreciate that you're saving people time and mental energy by removing things that aren't appropriate. So if I go there, I always have things that are useful, really smart, I love it. I hope it continues with this momentum for you, paradise is an acronym for your core values. I would love for you to run through that really quickly. When did this occur to you or to other folks around you? What are those values really quickly and why? What role do they play in the success of your organization?

Speaker 3 (19:46):
And I got this from my coach, from one of my coaches. You got to have principles in place not only for yourself personally, but for your team and all the decisions that you encounter. You should be able to look to your principles in order to make the right decision to move forward within your company. And Paradise stands for principled, abundant. We have a spirit of abundance, abundance of marketing, of leads, everything within our company for our team real for R, you have to be authentic, right? Accountability, diverse, innovative service. We do a lot of work within our community and not only within the community but service to each other on the team where we call it cooperation. There is no competition on our team. And then the ease for education always be learning.

Speaker 1 (20:41):
How do you keep them alive? It's a lot for, I think I knew you would remember them, but I wonder would the seventh highest producing agent on the team be able to recite them and if so, how do you keep them alive?

Speaker 3 (20:56):
So I think that's a challenge, especially when you have 50 agents. Plus I think that's a challenge to have everyone memorized them. I mean they're internalized in our culture, I would say by leading by example, you would hope that people on the team are also, whether they know it or not, they're living by those principles because they're instilled through action. I would say at the end of the day, and through leadership,

Speaker 1 (21:24):
One of the things you and I talked about maybe a week or two ago was this idea of calm through the chaos and the idea of not only letting the appropriate people know what's really going on internally as a leader, and I internalized that as we were talking about it kind of as a parent. Fortunately this hasn't happened in our household, but let's just say there were really intense financial troubles. The parents don't want to welcome eight or 12 or two or 14 year olds into that conversation create because they don't have the context, they don't understand it all. And frankly, that's not something that you need them to be participating in. And I feel like it's the same way inside an organization. There's an editorial decision-making layer on who to let, what parts of the conversation or who to give access to different parts of the challenge of the conversation. So I know I said a lot there, but I would love for you to share from your own experience in building this business and really even building this business while you had another business, where did this language come from and maybe share a couple of examples of it.

Speaker 3 (22:39):
So this kind of goes back to some of the challenges we face as a company. And I have a saying that I came up with back when I was younger, going through some stuff and it's strong, I'll carry you through rough waters, show me hell and I'll give you serenity that I think as a leader you have to be able to manage your mental state. It's very important. And you have to be able to guide people from a state where they don't want to be mentally to a state of positivity. And there's going to be some things that come along within your business and people's personal lives and whatnot that not everyone needs to know What you don't know doesn't hurt you as long as it doesn't affect you. And as a leader, you have to manage what pieces of information you should be sharing with them.

Speaker 3 (23:35):
And that goes to your admin team, to your staff, your agent population, the customer when you're dealing with issues that come up in a transaction. And one of the things too, I mean if there's an issue that arises, don't let people know until you have a solution hopefully. So that way you can at least provide an idea to resolve the problem and come up with a plan. So that's a challenge and you're not going to get it right every time, but that's definitely something that you need to be able as a leader you need to be able to manage. And we've had a couple of big things go on in our office that for me personally, one of the things that I learned is a team's like a family and our team is a family, and it's fair to say that there's dysfunction in families, so it's just how you manage that dysfunction.

Speaker 1 (24:33):
There are kind of two layers here. One is your own internal mental state to use. I think that was the exact language you used. And then who has access to behind the curtain, into the situation, and B, how you're thinking and feeling about it. For you, what are some of the ways that when you find yourself in a tough situation, which team leaders do all of the time, what are some of the things you rely on specifically to reset yourself or to manage that situation effectively? Just within yourself, setting aside this idea of who has access to the challenge and the ideas behind it.

Speaker 3 (25:11):
Coaching, I depend a lot on coaching because we all, I think need reassurance at some point in our lives no matter how confident you are. And I think professional athletes have coaches, you hear the analogy all the time, so why don't we as professionals have coaches? Everyone should have a coach, at least one. A good athlete will have just for their body to have a massage therapist, the physical therapist, chiropractor, that's just to take care of their body. So when you're dealing with a professional in the real estate space, I mean we have a leadership coach, a team coach, and then we do a lot of different events throughout the year and bring in other people to give their voice on how things can be done. But I think going back to coaching though, I think that's what I look to make sure I'm making the right decision, someone to hold me accountable. That's been huge for me.

Speaker 1 (26:10):
I appreciate the investment in coaching in the team. It's something I hear from high performing teams all the time, perhaps even to the extent of we have a lot of investments and expenses and one of the last ones we would ever really look to give consideration to reducing or eliminating is in coaching. It sounds like you're of a similar mindset. Was this something that you had all along or did you go through an experience and say like, oh, you know what, I'm going to talk to a buddy of mine to figure out how they dealt with it. Oh, this coaching thing. Maybe I'll go into when did this occur to

Speaker 3 (26:45):
You? Funny story. I used to be very anti coaching. I think the first coach I had, it took a lot of convincing by my aunt who is a coach and she does a lot of work with women, does amazing stuff, but she convinced me to go with one of her coaches who used to work with Tony Robbins. It was like a life coach and it was an okay experience. I did it for about six months maybe, and it was kind of fell off and then another six months went by and this was all around the time I got into real estate. Another six months or so went by and then a good friend of mine in the industry who I look up to greatly, Laurie Reeder, connected me with John Che Black. And I started coaching with him back in October of 2019 and been with him ever since. And it's literally like he's, a lot of what we've done in our business has been because of him and the network people. A lot of the systems we've implemented, the hires we made, it was kind of again, going back to that r and d concept and then just tested out different coaches from there for the team to provide the team more value

Speaker 1 (27:59):
For folks watching or listening on YouTube or your favorite podcast app. Laurie Reeder was our guest on episode two. John Chela was released maybe a week or two after that. So just go back to the beginning and you can check out conversations. Those folks, and I agree with you now of course those are just two off the top of my head, but the community of folks that you get introduced to through that commitment is just super, super powerful. And one of my goals here in sitting down with someone like you is to start drawing some of these connections into every week, introduce people that other folks can either learn from in a one-off experience or I found that most people who sit down in a chair like yours are like, yeah, reach out to me. I'm happy to help because a lot of people help me along the way too.

Speaker 1 (28:40):
For sure. Yeah. Did you seek, not necessarily a coaching experience, but I think your challenge is somewhat unique, so we don't need to dwell in it too long, but this idea of having a business and starting a real estate business alongside it, how long did it take for you to resolve any of the tension between split commitments, split focus, et cetera? How did that go for you? When did you realize, okay, now I'm a little overdrawn and I need to make some decisions? How did that go for you? Because I think other people have gone through something similar, whether or not it's running a medical device

Speaker 3 (29:18):
Business. So we encounter it all the time with recruiting agents. We have a 90 day period where you got to pay the bills, but you got to transition full-time into our team within that 90 day period. But for me, it was man, so 2016, I had just started my MBA program at the University of Florida, so it was like the Army reserves. I was going there once a month for a weekend of education, intense education, and that lasted about two and a half years. I was running stellar medical or medical device manufacturer, and I was just getting into the real estate industry and it was a lot. Thank God we didn't have kids back then. I wouldn't have been able to do it. But yeah, it was a lot of work, a lot of work and just pushed through it. And to me, the real estate business was a lot more fun. It was, I'm a social person at heart and I was out socializing. I mean, that's what you do in your work. That's part of it. And because it was more fun, I knew that was my true passion and I slowly started shifting away from stellar medical. Realistically by 2018, I would say Stellar medical was self-sufficient at that point, and I was all in on real estate and have been pretty much ever since.

Speaker 1 (30:48):
Cool. Talk about your journey through sales production. I assume you were selling out of the gate and I don't know if you still are or not. So talk about that because that's the sub tension in this dynamic.

Speaker 3 (30:59):
I've had a lot of conversations with people over the years on when to get out of production. I haven't been full-time in production, I would say in about four years now. The first year I was in the business, I did about four transactions and haven't done anything close to that since. So instantly after that first year, I started dialing back. I mean, again, I was going to school, so I didn't have the time there. I was dealing with the other company, but at the same time, that's why I had to build a team out. So the team kind of took over the responsibilities of the production. And again, I was a little bit in a luxurious position because of having that other income source, but you got to be able to take that leap of faith just like you tell your agents to not work other jobs and take a leap of faith into real estate.

Speaker 3 (31:54):
You as a leader have to take that leap of faith at a certain point, and maybe not for everyone, but if that's what your end game is, man, I tell you what, being out of production I'm allows me to, I'm at the point now where I work pretty much eight to five, and I don't work that much on the weekends. Yeah, I take calls and everything, but that to me is financial freedom. It allows me to spend more time with my family. We're trying to get my wife out of production now and into leadership, but she loves it. There's a certain point where it's like, for me, that was my goal. Maybe it's not for everyone. If production's what you're good at, then stay in production. But yeah, that's been a blessing for me.

Speaker 1 (32:42):
I'm thinking right now about that team leader who has, let's say a full-time assistant, a part-time assistant, and two buyer's agents who's wondering what's next? What do I want to do? And I'm not asking for specific advice for that person, but if you kind of compartmentalize this journey, what stage of the journey are you on and what were the previous stages? Knowing of course that every single journey is different.

Speaker 3 (33:06):
So the journey for me, I mean it happened really fast. We did last year, 617 transactions in 212 million in our seventh year in the business, my sixth full year in the business. So we had pretty fast acceleration and growth, I would say from having no previous experience in the business. The journey's different from everyone. I don't know there's specific advice that you can give to as a generality, but do what you love to do at the end of the day and don't be pressured into building a team up. It's not for everyone either. It is a lot more difficult than you think it is. You need to have the financial resources to be able to provide for however big of a team that you want. You need to make sure if you are going to start a team, that you have the leads, the marketing and stuff in place to support other people, not just yourself because end up ruining relationships or disappointing a lot of people that may join your team. So you need to make sure that stuff's in place before you go out and do this. It is a big commitment and you have to love helping people at the end of the day, not just customers, but you have to be willing to help people grow, not just their business but in their personal lives as well.

Speaker 1 (34:31):
I want to do two things off of that. One, I want to double back into systems, but first I would love to know, as you were bringing agents onto the team, did you know what type of agent you were looking for? Were you pretty clear in your value prop and your ideal person? Or what kind of maybe did you go through a period of bad hiring because you're like, ah, I thought we needed or wanted one thing or I thought one thing would really work for us, but it turns out we've been doing it wrong or bringing in some of the wrong people and it's been painful, so let's correct that. What did you learn in that process of bringing agents into your organization?

Speaker 3 (35:08):
Yeah, so another thing I've learned, recruiting solves all problems. There's definitely been some periods where we brought on more people than we probably should have just to bring bodies in, which is a bad mentality honestly. But I learned we got up to a point where we're at about 84 agents and we had to scale back. We let agents go that weren't productive, that were costing us money. We let agents go that didn't align with our values. And there was about three big times along my business journey for growth where we've had to scale back in order to move forward. And we talked when we were talking the other day, growth doesn't always look like growth, and the first one was just growing so quickly and having to scale back in our ad spend to build out systems and everything so we could grow more. The second time was back in about 2019, we had to let one of our top agents go just because he wanted to go out and do his own branding and everything, and that wasn't what we were looking to do as far as growth.

Speaker 3 (36:24):
So we literally parted with an agent who was a friend of ours, and he was about 25% of our business at the time. So had we not been recruiting, that would've been a massive blow to our business. We ended up still growing that following year. So that was another big period for us. And then recently going through a partner separation that was massive for me and a huge weight off of my shoulders. And we went at the time probably about 60, 65 ish agents down to about 40 agents, and that was earlier this year in February. Basically had to start a whole new company again, and we're already back up to 55 agents and our numbers are back to where we were last year already in three months. So it's been those three key factors of scaling back to move forward have been massive for us. And honestly, we're in a position right now where the market's maybe not doing the best right now, but this is probably the best our team has ever been right now, and we're just getting started again. So it's exciting.

Speaker 1 (37:30):
Yeah. Well first of all, congratulations, I'm sure this tension between the chronic pain of a partnership that wasn't working versus the acute pain of like, let's separate this thing and rebuild it and hope that we can bring the right agents over alongside. Congratulations on getting to the other side of that and doing it in this way where you're as productive today as you were last year. I would assume that kind of efficiency, the theme of a market like this is efficiency in order to find again or to, if you're fortunate, sustain profitability is key. I'm not going to ask you to affirm the obvious. I feel like that's an obvious statement to make. But for you, what do you think have been a couple of the key things with regard to sustaining or enhancing efficiency in this period besides perhaps one thing you already mentioned is let's figure out how to stop working with agents that cost the organization money. That's one.

Speaker 3 (38:32):
We have massive investment into our team, into every agent on our team, both from a time standpoint and a financial standpoint. And I think that's again, one of the things that sets us apart. But I would definitely say follow boss. We implemented Follow Boss a year and a half ago because we had the best integration with Zillow, and Zillow is a strong partner of ours, and we made the switch over to Follow Boss and that the reporting for us for the individual agent coaching from our sales manager to the agent has been massive. We do monthly competitions on different key performance indicators on a monthly basis, and the agents love that, so we gamify the process. But I think that's probably been the biggest needle mover honestly, is looking at the reporting on a consistent basis and making the agents, making sure the agents understand what those numbers mean and what they need to do to move the needle in their personal business to make them more successful.

Speaker 1 (39:35):
I love your call out to that. I think in so many cases, I'm thinking about this well beyond real estate, the idea that we can track and produce visualization of metrics is like that's exciting enough for a lot of people who are like, oh my gosh, we can see this now and we couldn't see it a year ago or a decade ago At some level, none of it really matters until you do what you just described. So for example, figuring out where this agent is falling behind and coaching that agent in this way that maybe we're coaching two other agents similarly, but then this idea, I love that what you introduced here of creating competitions around essentially leading indicators that we can track. Everyone can see it gamifying it. How did that emerge? Was that just like a natural obvious thing for you or your sales leader or someone else to implement? So

Speaker 3 (40:29):
We have standards in place, but I would say for our team, our standards are probably a lot looser than a lot of other teams. And I'm kind of out probably in left field on this compared to a lot of other teams, but we definitely have standards in place, but I think we're all adults at the end of the day, and it's got to be self-Discovery is the best method of motivation and to get things done. So if you can incentivize an agent on your team to conform to implied standards that are there, but they're not written down and make it fun, they're going to do it for the most part. And if not, maybe we're not a good fit for our team. So I think that's really been, I don't remember where I came up with the idea, honestly. I think that was something I ended up coming up with myself just because I know you got to make it fun at the end of the day and you see everyone else doing different things.

Speaker 3 (41:27):
And yeah, we've done trips, we've done iPads, gift cards, all sorts of stuff based off the leaderboard and follow-up boss, the sales funnel from appointment set, appointment met all the way down to submitting offers. But one of the cool things I think too with the competition, the competitions we do are all based off of activity. It's not based on production or the amount of deals you get under contract or anything like that. It's all based off of activity. And that way it's fair across the board, whether you're a brand new agent in the industry, brand new agent on our team, or you've been in the business for 10, 20 years and you've been on our team since day one, everyone has an equal chance to win. And we find that if you're putting in the activity consistently month over month, over month, your production numbers are going to follow in it's common sense.

Speaker 1 (42:22):
Really good. As a final zone here, I'd love to go into back into systems a little bit. You introduced it off the top as critical to your success, especially out of the gate. I know that you talk with a lot of different folks. You're obviously in a variety of communities and engaging for someone in a less mature organization that's trying to figure out which systems are really going to make a difference. A, how would you define system in general? And then B, what are a couple key systems, especially for an early stage team?

Speaker 3 (42:55):
So obviously you have your systems, which are your processes that you should have in place, and it's literally documenting literally step-by-step and maybe screenshotting stuff to make it so easy that anyone could do it. It's plug and play. But then as far as systems go with your tech stack, FBOs has been great. Obviously Cloud CMA since day one has been clutch to this day. I always say Cloud CMA dollar for dollar has been the best investment that I've made in my business and that we've made in our team. We provide cloud CMA to everyone on our team from a buyer's agent standpoint, showing up with a bound packet of the buyer tour, and along with relevant information to educate the buyer, showing up with that, that's something tangible that someone can take notes in and everything. We attach one of our company pens and everything, we've gotten more compliments on that bound buyer tour booklet and anything else we've ever done consistently. And to the point where back when there were multiple offers, situations on every property and lines to get in to see homes, it was like our buyers were bragging about our agent to other agents and other buyers walking into the property saying, did your agent give you one of these? And everyone, it's all about presentation though, and that's something Cloud CMA has been awesome with. I would think that's probably one of the best tools that I'd recommend.

Speaker 1 (44:31):
Awesome. And I mean the way that you described that, it's so much more perhaps about the perception and the experience as opposed to the actual information itself, right? It's the way that when you say presentation, of course there's the formal kind of walkthrough and different ways you can approach how to structure a presentation and deliver it, but just the presentation of that piece alone says, I've done a bunch of work. You don't need to go through any of that if you don't want to, but know that I'm on top of this situation.

Speaker 3 (45:02):
Most agents just show up in my experience with one page MLS sheet that ends up half wrinkled. If you're fancy, you might throw it in a folder, but having that bound booklet shows that you spend a little bit of time on it and it's tangible.

Speaker 1 (45:16):
Well, I appreciate you sharing all of that. I appreciate you spending all of this time with me, and of course, everyone who's watching and listening. Before I let you go though, I would love to know either your favorite team to root for besides Palm Paradise or the best team you've ever been a member of besides Palm Paradise.

Speaker 3 (45:33):
So I bleed orange and blue. I'm a Florida Gator, third generation, and yeah, Florida Gators all the way. Just found out they're the new Ivy League school, number three, I think, on the list. So that was pretty cool seeing that last week. But yeah, Gator's number one team to root for favorite team was probably back when I was a kid, competitive soccer strikers. That team, I'm still stay in contact with a lot of the people, even though we were like eight years old back then, but that's amazing. I remember going on awesome trips on road trips on the weekends, and we just had a blast and we were a pretty damn good team too. We didn't let that stop us from having fun, so we got into some little trouble back then too. But yeah, those are great memories, having those memories. That's

Speaker 1 (46:26):
Awesome. How about your most frivolous purchase or a cheapskate habit that you hold onto even though you probably don't need to?

Speaker 3 (46:35):
So unfortunately, cheapskate, there's not a whole lot, but also that's led to a lot of our success because I'm not afraid to spend money on investments and whether they succeed or fail. My most frivolous purchase, my wife hates me for this, but I bought a virtual reality headset thing that I've maybe used like five times, stuff like that. I've gotten to a shoe thing lately, but yeah, those are probably the two. Okay,

Speaker 1 (47:06):
That's good. Final one. What does it look like for you? What are you doing when you're either investing time to learn, grow and develop, or when you're looking to rest, relax or recharge? What does that activity?

Speaker 3 (47:18):
Yeah, so rest, relax, or recharge. That is super important to me. I work my tail off, and I would say that for my mindset to stay sharp, I view the stretches of work. It's like you got to sprint in order to earn time off sprint, earn time off, sprint, earn time off, and you should always have your next trip or vacation planned, whether that's a one day getaway, a massage, something to reward yourself for all the work you put in during that time gap. And for me, that's been clutch. And whenever there's a period of time where I don't have something planned or something to look forward to, I definitely see a change in my mental state. But I know in July, I'm going down at the Keys. We've been doing this for the last five, six years, and to me, that's my sprint right now, to July, and I get a week off, not a week off, but I'll be down enjoying the weather and on the water,

Speaker 1 (48:30):
Really practical. I love the way that you articulated that. I felt the same thing, but I never gave it language or clear definition. So I appreciate that. I always learn something, but that's among many things you've shared with me. And of course everyone who's watching and listening, if someone's gotten to this point in the conversation, Marcus, they may want to learn more about you or about Palm Paradise Realty Group. Where would you send people who've enjoyed this?

Speaker 3 (48:51):
Yeah, so Instagram is awesome. You learn about our team, our culture, our area, our community, Palm Paradise Group, FL on Instagram, and obviously our website, paradise realty.com. Two great places to learn about us and our community and our team. Awesome.

Speaker 1 (49:08):
They'll be linked up right down below in the YouTube video and in the podcast apps, and when we write this up at real estate team os.com. You're awesome. I appreciate you doing this, and I hope you have a great rest of

Speaker 3 (49:19):
Your day. Thank you, Ethan.

Speaker 2 (49:21):
Thanks for checking out this episode of Team Os. Get quick insights all the time by checking out real estate team Os on Instagram and on TikTok.