The cloud-based broker business model has become a popular option for agents over the past decade, and especially after the COVID-19 global pandemic forced businesses to become more virtual and tech-savvy. One of the noticeable advantages to owning a cloud-based brokerage versus the brick-and-mortar building is the significantly lower overhead costs and rapid scalability (ability to grow faster without the typical barriers to expansion).
While several of the cloud-based brokers offer similar benefits, CanZell Realty beats out the competition by merging both traditional and virtual broker options. See the graphic below.
What are the advantages and disadvantages to working with a cloud-based broker?
Better Commission Splits | Virtual brokerages often have a better commission split, because the cost-savings a broker typically has with a physical office, allows them to provide more money to their agents. CanZell offers an 80/20 split (80% of the commission goes to the agent and 20% of the commission goes to CanZell) with a $14,000 annual cap, which means that after paying the brokerage a total of $14,000 from the 20% commissions the company receives, the agent then makes 100% commission on all transactions until the next year.
Most traditional brokers charge a 70/30 split with significantly higher caps, while other virtual brokers also have higher caps.
Customer and Agent Convenience | Office locations for most brokerages are not conveniently located for customer and agent accessibility. With the now popular and affordable virtual platforms, such as Zoom, GoToMeeting, Google Meet, and others, working from home or coffee shops and diners has become the new office for most agents, and much more comfortable for clients.
However, there are some who still wish to meet in an office setting, because, let's face it, working from home has its disadvantages, as well. Too much time working from home can turn your sanctuary into a prison! And with the distractions at home, such as kids, pets, neighbors, etc., having an office to visit can keep your professional distinction. With CanZell, we have partnered with Regus, a global provider of virtual and shared office space with tons of locations for agents to utilize.
Plus, this affords our agents the ability to grow their businesses outside their geographic region! CanZell agents can build teams of agents outside their own market, and have the support from the expansion market's brokers and leaders, as well. It truly is a virtual team family!
Socializing and Accountability | Some extroverted, charismatic agents may find the virtual brokerage unappealing because they need to be around people. They thrive best in a group setting and love the professional interaction of like-minded agents to help hold each other accountable, share war-stories from their experiences, develop friendships, and create camaraderie.
With CanZell Realty, we create a strong team environment that builds community and helps agents engage at the level they feel most comfortable. This includes creating events that virtually connect our team on a national level, while also creating opportunities to socialize on a more regional and local level. It's the best of both worlds!
Training & Accessibility | While many virtual brokers tend to fall behind when it comes to training and broker accessibility, at CanZell, we eliminate those issues by having more than one broker in a state - in fact, we are adding brokers to each region to ensure our agents always have accessibility to a live person in their state when they need help the most, and not some avatar or "take-a-number" system where you wait in a call queue for a broker to help you.
Training new agents and updating seasoned agents on new best practices, technology/systems, new forms, etc. may be difficult at some brokerages. New agents, especially, often feel like they are thrown to the wolves once they join a brokerage. Armed with little more than a real estate license and basic industry knowledge, most have little guidance or direction when they start their real estate careers.
But with CanZell, our on-demand learning system features tons of training, in addition to regularly scheduled interactive live training sessions, and countless options for personal and professional growth, we ensure our agents are top-notch and prepared to have success in the real estate industry.
Here is a great video by CanZell, that helps explain our difference:
Want to learn more, or explore joining our team? CLICK HERE to schedule a call with one of our leaders, who will be able to answer any questions you may have.