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Who else uses Express Commission?

In September 2010 Express Commission provides commission advance s to leading residential, commercial, and industrial real estate agencies and business brokers across Australia.

Our clients are based in every state of Australia and include both independent agencies and members of Australia’s most successful real estate groups including:

• Barry Plant
• Biggin & Scott
• Brock Harcourts
• Century 21 
• Coldwell Banker
• First National
• Harcourts
• Elders    
• Hocking Stuart
• irean independent agency network
• LJ Hooker
• Laing & Simmons
• Professionals
• Pro-Active Real Estate
• PRD Nationwide
• Raine & Horne
• Ray White
• Realway
• Re/ MAX
• Richardson & Wrench
• Stockdale & Leggo

Selected article shown below. See all articles for this issue.

Navigating Start-up

Guidelines for starting a small business

Estimates are that one in three new small businesses in Australia fail in their first year of operation, two out of four by the end of the second year, and three out of four by the fifth year. (Source CPA Australia - December 2008)

But it should cause no surprise when you consider that only a small number of businesses conduct a formal feasibility study and prepare a business plan before they commence the business: estimates are that only three to five per cent of Australian small businesses starting from scratch prepare a business plan – that is, know that their business is feasible and have a formal plan to operate that business.

Understanding the common reasons for business failure will help form your plans to avoid these pitfalls.

According to a recent study by the University of Technology, Sydney, commonly cited reasons for business failure are, in order of frequency: financial mismanagement, bad management, poor record-keeping, sales and marketing problems, staffing problems, failure to seek external advice, general economic conditions and personal factors.

A closer look at these findings is instructive. The single largest contributor to business failure is financial related, responsible for 32 per cent of all business failures. The range of problems that combine to make up this category are lack of business experience, cash flow problems, being undercapitalised at the start, excessive private drawings, no budgets and inadequate provision for tax payments.

Other frequent causes of failure included:

- insufficient sales 
- delayed invoicing
- inability to borrow funds
- poor promotion, marketing and advertising causing poor image
- lack of industry knowledge
- poor cash control 

In the real estate industry, many new agencies overcome these financial related problems, by bridging the timing gap between making the sale & receiving their commission payment. Express Commission offers a cash flow service which allows real estate agencies instant access to their sales commissions once the sale is unconditional.

For many agencies the fluctuating income from commission sales can be an emotional & financial roller coaster. It can be stressful trying to juggle marketing, payroll, leasing, administration & taxation commitments & unexpected expenses that often occur between commission payments.

Lack of consistent cashflow can potentially lead to thousands of dollars in lost earnings from missed listings or referrals.

Express Commission is an Australian business that offers a simple solution to the problem of irregular cash flow for real estate agencies & salespeople. Our service gives Agencies greater control over their cash flow by giving them with the option to turn an unpaid commission into cash within 4 hours of an unconditional sale.

How does it work?

Richard Fay, a director of Express Commission explains...
"It is based on the principals of cash flow finance, where a future receivable (in this case the right to an earned but unsettled commission) is sold at a discount in exchange for immediate payment of funds.

"We provide Agencies and salespeople with confidential cash payment of up to 100% of the commission less our fees as soon as the sale is unconditional. 

Benefits?

According to Richard Fay, “It isn’t a loan, so it doesnt affect your balance sheet & there is no need to provide financials or tax returns.

Unlike a traditional loan or overdraft the amount of funding available automatically increases as your sales increase.

The approval process is fast & easy. We guarantee to turn a commission into cash within 4 hours of a completed and approved application. It is strictly confidential, so no details are disclosed to the parties involved in the sale..."

"Our clients tell us that Express Commission support their businesses in many ways, from new agencies that have just opened their doors for the first time or established agencies with expansion plans, Express Commission helps put them in control of their cashflow and gives them confidence ... and we all know that success in real estate is all about confidence.”

Who else uses the service?

Plenty of you.

Cash flow finance is one of our fastest growing alternatives to traditional business loans or overdrafts 

In 2007-8 Australian businesses & professionals sold over $40 billion dollars in receivables as part of a cash flow finance facility.

Express Commission is Australia's largest & most trusted provider of confidential cash flow finance to the real estate industry.

Our client list includes independent agencies throughout Australia as well as members of Australia’s most successful real estate franchises; big & small. 

How do you get started?

To get started you can apply online  http://www.expresscommission.com.au/

or contact Director, Richard Fay on 1300 738 211 or email richardf@expresscommission.com.au

Do you have any feedback on this article or ideas for a topic that you would like us to cover in future editions?

Email us at admin@expresscommission.com.au