Manifesto

 

A Real Estate Firm in Nashville, TN founded by Principal Broker Barry Owen offering a tasty blend of high technology, sophisticated marketing, performance oriented training & consulting, & superior (FUN) office environment – never taking our eyes off the fundamental Life Rhythm of “Live, Work, PLAY”

The Pareto principle (also known as the 80-20 rule – the law of the vital few) states that, for many events, roughly 80% of the effects come from 20% of the causes. Italian economist Vilfredo Pareto observed in 1906 that 80% of the land in Italy was owned by 20% of the population. It is a common rule of thumb in business; e.g., “80% of your sales come from 20% of your clients.”

Pareto Realty is home for the Vital Few.

Pareto Realty Inc. is a niche firm specializing in providing a “perfect mix” for high Achieving Real Estate Professionals as we together focus on what matters in the local community.

Truth

The real estate market in Middle Tennessee and throughout the USA during these times of economic uncertainty is in a very fluid state. REALTORS themselves are facing an ever shifting market and are consistently needing to develop new ways to generate business all the while being more conscious than ever before of their budgets.

The reality is that “High Volume and Low Margin” approaches are essential for the individual agent and Teams or Groups. The goal must be a high volume of sales at the lowest possible cost of sales because of the uncertainty of future business. REALTORS are VERY sensitive to costs associated with the firm they join and what benefits they derive . . . REALTORS are DEMANDING “their Money’s worth” from their real estate firm and will choose lower cost firms if they do not see the value in more “expensive” models.

Real Estate firms have the same challenges and must also focus on “High volume and Low Margin”. They must keep their costs lean and provide the “right” level of service for their associates in order to attract enough quality agents to create the high volume.

The enigma for the firms is this balance of costs and services offered. this gives rise to (and room for) 4 distinct business models.

Low Cost Firms are more focused on the low margin and offer very low cost alternatives for REALTORS. Some of these firms offer monthly or annual fee based membership with very little “service”. Generally speaking, these offices encourage “virtual” participation by the agents and offer very little support within the office itself. This model requires a VERY high volume in number of associates in order to survive. There will ALWAYS be a place for this business model in every real estate market. Many REALTORS flow in and out of these companies as their businesses (Income and costs) ebb and flow through the years.

Traditional Niche Family Brand Firms – these firms are generally well established in the local market and have very strong Niche Branding. They typically have higher costs and offer a higher level of administrative services. These firms tend to carry more staff and spend more money on services for the agents. Their Training and Education and Broker Support generally come in the form of periodic “Sales Meetings” and high participation in the Association of REALTORS. Some of these firms have shifted their models slightly as the market demands by offering some level of “Cap” of annual commission paid in by associates. Their splits typically fall in the 80/20 range for “seasoned” agents. These companies are not typically “recruiting oriented”.

Regional Firms are more “Corporate” in nature and tend to have multiple offices in the Middle Tennessee area. Their business models seem to be derived from the Traditional Model with slightly more emphasis on Training as a way to attract more associates. They are more conscious of recruiting as a way of capturing market share and sometimes appear to be more interested in number of associate members than quality. Through the years, the traditional firms would often advise newly licensed agents to join one of these regional firms to “Get some education and get your business going” then come back to join them. These firms have a relatively high “Flow-through” of agents.

National/International Firms – These firms are the large name brands. These firms franchise and most local components are “Independently Owned and Operated” subject to Corporate Franchise Operating Agreements. Many of these National firms tout EXPOSURE, Relocation business, and promote themselves on a large scale. Most of them offer education and training. The financial models for most of these is a high volume and low margin approach with an average level of services and low as possible operating costs.

The truth as I see it in today’s market here in Middle Tennessee is that there is a missing business model . . . one that serves the real needs for the “Elite”, high performing REALTOR . . . someone who is interested in growing a stable business and be in an environment that supports them with appropriate education, training, Coaching, Broker Support, and administrative support all at a reasonable cost that is easy to budget with minimal monthly expense.

High performing REALTORS are not necessarily “Top Producers” meaning they don’t necessarily desire HUGE volumes of sales and/or want to build LARGE teams – Although they might. The High achieving agents are the ones who see their real estate sales business as a BUSINESS and are very serious about building the BEST business they can build. These people KNOW their goals.

I see these High achievers bouncing back and forth between the models in search of the perfect mix

Assertions

Pareto Realty is filling this gap in the Middle Tennessee market and later in other Real Estate Markets in North America.

Pareto Realty is a niche firm specializing in providing this “perfect mix” for high Achieving Real Estate Professionals – an organic and fluid blend of Education & training, Coaching & Consulting, environment of Masterminding and Group think, in a place where everyone has a say . . . All the while embracing the REALTOR and Local community through coordination of sundry community initiatives and events.

Office Environment – Location The vision is one of creation of the ULTIMATE Real estate firm in a central location in Middle Tennessee. We have identified a space with easy interstate access in the 100 Oaks area. This location will serve as a “Hub” to support High Performing REALTORS in Davidson and surrounding counties. 

Our focus is on following an agent-focused business MODEL rich with education and coaching to support High Achieving Real Estate Professionals seeking to improve their quality of life as they build remarkably high volume real estate sales practices. We will co-create this Market Center by inviting other TOP Real Estate Professionals in Nashville to come together and have a say.

Our focus will be on EXCELLENCE and LIFE RHYTHM!

We think of LIVE, WORK, PLAY.

We will have intentional focus on the Health and well-being of our associates as we will ultimately have in-office exercise and shower facilities . . . a fully functional kitchen with a healthy daily lunch served to those who opt in – Outdoor deck/patio space for client meetings and casual gathering.

This office will be the PINNACLE of ALL Real estate firms as we can and will be the Real estate firm of choice in Middle Tennessee for REALTORS who desire an office environment that supports HIGH ACHIEVEMENT – HIGH PERFORMANCE.

Thus our name – Pareto Realty Inc.

Our firm – the home for the “Vital Few” (The 20%) Real Estate Professionals.

Our selection of agents will be by invitation only or interview by request. We are NOT a recruiting oriented firm. A part of our Spirit includes cooperation with other local firms.

Training – The training calendar will be robust and driven by group demand with emphasis on skills, scripts, business development, quality of life . . . Driven by use of MASTERMIND and expert Panel learning. The Curriculum to be derived from NAR, TAR, GNAR and developed in-house and to be video broadcast live over the internet.

All training Sessions (Excepting our bi-monthly “Skunkworks” Team Meetings) are open to ANYBODY regardless of company affiliation. This often includes participation from Local Vendors.

Weekly

  • Tuesdays are for Skunkworks – Members only meetings and Caravans 
  • Wednesdays – “Vendor spotlight Lunch & Learn” – Local Vendors Educate & Feed whoever comes
  • Thursdays Skills based training – Instructional
  • Masterminds on Fridays

 Monthly

  • 1st Thursday Each Month – Book Club
  • 3rd Thursday Each Month – Principal Broker and Owner consortium – Invite Brokers and Owners of all local firms to participate in open dialog about issues and opportunities in the market

Quarterly

  • 1/2 day “Life Rhythm Workshop” – With focus on Live, Work & Play
  • Performance consulting for individual agents with Broker/Leader.

Annually

  • Open Space Consortium and Trade Show. Each May, we offer a full day + Open Meeting for all REALTORS regardless of Firm Affiliation to come together to identify and explore issues and opportunities in the Local and Regional Real Estate Market. Trade show will have local vendors . . . All profits will go to local charity.
  • Pareto Realty Retreat – We’re going to take our whole membership away from the grind for a couple of days each November . . . We’ll have fun, reflect on the past year and talk about the coming year.

 The Pareto Realty Learning Center for the vital few – An Amazon.com Astore – an easily accessible portal where folks can find all of our favorite stuff – Books and more

Satellite Offices This firm will have no local borders through the use of paperless transaction capabilities and a “Hub spoke” office configuration. A central Hub office @ 100 Oaks will be the place for all staff and transaction processing, individual office/desk space available for rent, common computer/tech space, and training/event facility. Ultimately, Along each spoke will be an unstaffed Satellite office with Reception area, tech room, bathroom, and conference room with key card entry system. Satellite offices to be added as demand in areas increase. 

Contact management (CRM) – Pareto Realty will offer members a robust, full strength Contact management capabilities at no cost to the associate. With all members on the same platform, we will have tremendous marketing leverage with seamless (and appropriate) lead flow management.

Financial and Virtual Office  – Back office financial software for accounting, document management, and on-line back door reports access for agents

Alternatives

Pareto Reserve – A sister Real Estate Firm (under the same roof) to hold licenses for inactive REALTORS with active databases. This company will provide the inactive Real Estate Licenses the ability to earn referral commissions (Legally) and will be a source for referral clients to active associates.

Web Marketing – SEO – Emarketing – Will include a “Social Media” rich conglomeration of websites engineered for optimal SEO (Search Engine Optimization) to bring maximum exposure on the internet. Lead capture is the intent. Primary functions in order of development are:

  1. Attract Residential Real Estate Buyers and Sellers (Front)
  2. Attract appropriate new associates for the firm (Front)
  3. Serve as an intranet for members (Back)
  4. serve as a platform for Paperless document sharing transactions (Back)
  5. A portal for the CRM program (Back)
  6. A portal for full financial access (Back)
  7.  

Vendor support Program – We understand the importance of developing a strong association with a wide variety of local vendors. We know that as we support LOCAL vendors, we strengthen our community and make it a better place to live. We will never allow “Exclusive Affinity Vendor Relationships” regardless of the temptation of financial reward. Our LOCAL vendors are our Business and community Partners

  • Sponsorship – We offer multiple and varied opportunities for Vendors to gain exposure to our associates and the community
  • Education Weekly – Vendor Spotlight Lunch & Learn Events
  • Annual Vendor fair – trade show – Each May
  • Annual Vendor appreciation Party – End of year – We throw a BIG party in appreciation for our vendors’ support throughout the year

 

REALTOR Association – We encourage our members to actively engage in the local REALTOR association of their choosing. The Principal Broker will affiliate with ANY Association to facilitate this. We know that it is through healthy relationships with other Local REALTORS . . . and exposure and leverage that the State and National Associations that we can all continue to positively impact the economy and our clients’ lives

Growth – Pareto Realty will grow to other markets (Cities) based on “organic growth needs”. Should we become aware of another “complimentary” real estate market anywhere in the USA, we have structured every facet of our model to be “scalable” without geographic distance concerns. this model is NOT a “Franchise model”, therefore growth will not create a new tier of “Royalty Fees” to be passed on to the members.

People – For now . . .

Barry Owen 

Born August 8, 1962 in Baltimore, Maryland – Family moved immediately thereafter to Nashville

Schools: Woodmont Elementary (now a city park), Head Middle, and Montgomery Bell Academy (1981) .

College: Centre College of Kentucky, The University of Tennessee at Martin, and Belmont University.

Obtained extensive training in operating a service organization as a restaurant manager through those years of college.  (Wendy’s, Hardee’s, Applebee’s, and KFC). 

1985, commissioned as an officer in the United States Army and served as an Engineer Officer in the Tennessee Army National Guard until 1993 when I resigned a Command of a floating bridge company in West TN.  Final rank was Captain (P).

1995-1999 – Traveled and educated myself extensively in the field of Organizational Transformation – Specifically, my Father’s methodology known as Open Space Technology. I have learned much about personal and organizational effectiveness using Open Space Technology.

Began real estate career in 1993 with Shirley Zeitlin & Company REALTORS. 

Fall 1995, moved to Fridrich & Clark Realty where I met my wife Debbie.

In 1999, Deb & I married and moved to a new Fridrich & Clark office in Brentwood – a new office launch as a result of Crye-Leike Buying Folk Jordan.

March 2002, joined (as Charter Member) to introduce Keller Williams Realty to the Middle Tennessee area with its first office in Brentwood.

February 2005 – March 2010 Participated in the Launch of the Keller Williams Realty Green Hills Market Center. Served as Principal Broker, Primary Trainer, and Career development Coach.

March 2010- Present – Residential Real Estate Sales

January 2010 began serving 3 year elected term as a Director on the Board of Directors for the Greater Nashville Association of REALTORS.

Debbie and I live in West Nashville with our 3 children (Tyler, Jessica, and Allison) and Apollo (Dog) & Diamond (Rabbit).

Money

The Pareto Realty business model comes from a belief that a Real Estate Firm should manage (budget) and control expenses responsibly based on realistic income projections. In other words, we pledge to “live within our means – ALWAYS”. We will NOT charge compulsory “add-on fees” for services for our members; therefore, there will be no “monthly office bill”.

Everything we offer in our model comes at no additional cost to the member. In exchange for this, we only require the members to perform at a reasonable level. We offer 1:1 coaching and consulting for our members and accept only “Performance Oriented” real estate professionals.

Our “splits” are in alignment with our fundamental principle . . . Pareto – 80/20

80% to the Agent

20% to the Firm

With no deviation . . . no guarantees . . . no games . . . no confusion. 

As our number of Member agents grows, we will phase in our programs. We have clearly defined “Way-points” which, when we reach them, give us permission to consider adding components (ie – additional staff, more office space, etc).

Employees – In order of employment:

  •  Principal Broker – Coach & Trainer
  • Office Administrator
  • Reception – Salary $25,000 ($2083/mth) – Beginning – @ 24 agents
  • Web Marketer on retainer
  • IT Expert on retainer 

615-502-2080

Barry Owen

Founder & Principal Broker

615-568-2123

Barryo@comcast.net

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