FCB #044: You're Starting Up Your Own Appraisal Business?

Introduction

Sorry for the absence folks, but I've been a little under the weather lately.

While I was a little bit down for the count, I figured I'd do a little counting...

The majority of my coaching clients are one-professional appraisal businesses.

And the vast majority of my coaching prospects are appraisal business startups.

Either wannabes, recent-out-on-their-owns, or startups in their first year of business.

So, I thought I would devote this issue to 5 things I would recommend you do if you're a startup:

1. Create a Professional Web Presence
2. Set Up Professional Accounting
3. Hire a Professional Assistant
4. Use Professional Software
5. Market to Professionals

Of course, it goes without saying you need some capital behind you before your go out on your own.

But, assuming you have several months of working capital saved, these are the top 5 things I would suggest you focus on doing.

1. Create a Professional Web Presence

First, create a memorable brand name.

It should NOT include your surname in it.

Instead of Edward B. Jones & Associates...

Or E.B. Jones Valuation Services...

Try something you could use nationally someday...

Alpha Value Pros, Inc. (www.AlphaValuePros.com).

Find a short .com URL that can be used nationally.

Second, hire a professional website builder and get a professional website built.

DO NOT DO THIS YOURSELF!  I REPEAT!  DO NOT DO THIS YOURSELF!!

You are a valuation expert, NOT a website expert.

Your website will be one of your most valuable assets.

Don't scrimp!  Hire a professional web designer/builder.

Make sure it has a blog feature and that it is SEO optimized.

Third, set up your local online business listings on all major listing sites possible:

1. LinkedIn Company Directory
2. Facebook Business Page
3. Foursquare for Business
4. Bing Places for Business
5. Google Business Profile
6. Yelp for Business
7. Yellowpages.com
8. Superpages
9. Yahoo Local
10. Apple Maps

Fourth, use a Local Business Listings Management Tool to update your business details to dozens of directories automatically.

Local listing management is like making sure your business can be found on a giant online map.

It's about giving your business a digital ID card that tells people:

• Who you are (your business name)
• Where you are (your address)
• How to reach you (your phone number and website)

Some of the top Local Listings Management Software Tools include:

• Birdeye
• BrightLocal
• LocaliQ
• Moz Local
• Semrush
• Yext

2. Set Up Professional Accounting

First, I recommend starting out with QuickBooks Online (QBO).

It's the gold standard for online accounting software.

You will never outgrow it!

Second, hire a professional bookkeeping/accounting service.

One that can help you do five critical financial functions:

1. Bookkeeping & QBO Data Entry
2. Invoicing & Accounts Receivable
3. Accounts Payable (Bill Paying)
4. Employee Payroll
5. Tax Preparation

3. Hire a Professional Assistant

As soon as you possibly can, hire a full-time assistant.

Initially they can do double duty...

Half-time appraisal assistance... and

Half-time administrative assistance.

If you're thinking you can't afford them, you're right!

You can't afford NOT to hire them. Trust me on this one.

You've got to get over your fear of hiring and managing people.

It may take a few goes at this until it starts to feel comfortable.

4. Use Professional Software

I recommend leveraging professional software from the very beginning.

QuickBooks Online is the gold standard for small business.

In terms of appraisal software, you have several choices:

RESIDENTIAL:

• ACI
• Alamode by CoreLogic (TOTAL for Mobile & Sketch Pro)
• Bradford Technologies (ClickFORMS & Redstone)
• SFREP (Appraise-It Pro & Comp Manager)

COMMERCIAL:

• Datappraise
• DataComp Appraisal Suite
• LightBox Valuation
• Realquantum
• StartDeck
• Valcre

5. Market to Professionals

Your natural tendancy is to go after banks and other types of lenders.

Go ahead and do that, but just don't make them your main focus.

I would recommend getting a good marketing CRM from the get go.

I would focus on targeting these professionals for new client leads:

• Trust & Estate Attorneys
• Real Estate Attorneys
• Litigation Attorneys
• Divorce Attorneys
• Property Managers
• Real Estate Brokers
• Real Estate Investors

Conclusion

If I was starting up my own appraisal business today, this is what I would do first:

1. Create a Professional Web Presence
2. Set Up Professional Accounting
3. Hire a Professional Assistant
4. Use Professional Software
5. Market to Professionals

Good luck, and feel free to reach out to me if you need any help.

You can find me at CalvinCummings[dot]com.

You can email me at Calvin[at]Appraiser2X[dot]com.

Have a great week!