Boss Motivates Salespeople by Sending Them Home

SAGINAW, Mich.--Ever wonder what the world will look like after the great home-office migration? Take a gander at Online, REALTORS®.

It’s what pundits call a decentralized office, meaning much of the operation takes place at scattered locations--like the home offices of its 30 affiliated salespeople. Online salespeople swing by the company’s two 1,000-square-foot facilities only to use one of the conference rooms; attend meetings; partake of its marketing, administrative, and training services; and occasionally meet with President Margaret Hoppe.

Both salespeople and brokers benefit from a decentralized office, says Hoppe. Among the benefits are

• The savings and convenience of equipping only one company office
• The comfort and freedom of working at home
• Access to the advanced technology necessary to connect many locations, including voice mail, a shared Web site, and an advanced phone system

Hoppe’s salespeople pay a monthly fee for office and staff expenses, along with a per closing fee. Hoppe won’t disclose the amount of the fee but says the total is “about half” the average fee charged by 100 percent companies.

The bottom line? The setup is so conducive to productivity, she says, that every one of her salespeople has increased business since coming aboard. And the company’s sales are on track to double this year, to about $45 million.

Hoppe says she doesn’t quite earn what she could running a similar-sized traditional brokerage but should by year’s end if more practitioners join the company. “More important,” she says, “is the fun I have taking on new challenges. I’m figuring it out as I go along.”

She admits her setup isn’t for everybody--only for those brave souls with a vision for the future . . . and a finger on the E-mail button.

Legal Considerations for the Decentralized Brokerage

Perhaps the most dangerous risk you face if you’re exploring the decentralized office is brokerage oversight--can you adequately supervise the legal and ethical behavior of your off-site salespeople?

“Supervision may be even better in a decentralized office,” says Margaret Hoppe, president, Online, REALTORS®. “When you don’t see salespeople every day, you don’t become complacent about communications. You’re always checking up on them, whether it’s on the phone, with E-mail, or by taking extra time to chat when they do come in.” She says she uses the time she saves by not maintaining a large office to communicate with her salespeople.

“Every state has different supervision requirements,” notes Mary Stark-Hood, the National Association of REALTORS®’ deputy chief counsel, “so brokers should contact their state authorities to make sure their plans are in compliance.” Stark-Hood also recommends asking whether home-based offices need special zoning permits or modifications to comply with the Americans With Disabilities Act.