s.w.o.t. analysis · web viewlicensed home improvement contractor. accounting background. currently...

S.W.O.T. Analysis

B Harris, Svitlana Y.Jett, Benjamin G.Rolle, Lamoure A.Tholen, Joy S.

STRENGTHS. WEAKNESSES. OPPORTUNITIES. THREATS.

MGMT 1600-001

Spring Semester 2015

23 April 2015

Owner: Joy Tholen

Est. March 17, 2008

http://desertsageproperties.net

Mission Statement: Desert Sage Properties, Inc. is committed to setting a standard of quality and performance for residents and owners that will encourage cooperation and success for all involved.

For over seven years the main goal of Desert Sage Properties, Inc. has been providing affordable, quality rental services, ensuring a safe and comfortable environment with the realization of managing

properties transactions. This is not just a declaration of good intentions, it is the spirit which imbued the working atmosphere of the company. Desert Sage Properties always has had a responsible attitude

towards the undertaken obligations and has treated each client and every contract with special care. The company is working hard to be helpful to its clients, striving to earn an appreciation and increase

the amount of their satisfaction.

Desert Sage Properties, Inc. believes that justifying the trust for its service, we deserve the honor to meet our clients again and again by carrying out our mission and confirming the good reputation of the

company to do their job conscientiously.

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http://desertsageproperties.net/

Desert Sage Properties, Inc. currently manages rental properties for clients that have one or more homes to rent. They currently collect a ten percent management fee, which is an industry standard. Fees on all rental and deposits collected which gives an average of $82 per property. Currently they are managing 43 properties in the Salt Lake County area. The monthly average income at this time is $3,500.

Understanding the management and rental process of these properties includes:

Acquiring and retaining renters Collecting monthly rent Paying the monthly bills on the property Paying the property owners and giving month reports Maintenance issues/ property inspections Rehabilitation of recently vacant units (e.g. paint, cleaning, and maintenance)

Desert Sage Properties, Inc. is an S-Cooperation. An S-Cooperation1 “pays no income tax and may only be used for small businesses. All of the income or losses of the corporation for the year are passed through to the shareholders, who report them on their individual returns. At the end of each year, the corporation files an information return, listing all of its income, expenses, depreciation, etc., and sends each shareholder a notice of his or her share as determined by percentage of stock ownership.”

Desert Sage Properties, Inc. was established in March of 2008, in St. George, Utah. The Principal Broker, Joy Tholen decided when the construction housing market took a downturn, her household income needed to be supplemented in some other way. She had managed rental properties professionally before and found a need in the St. George area. She then gained the education and applied with the State of Utah for the licenses necessary for opening a Real Estate Brokerage. Upon moving back to Salt Lake City in 2010, she was managing 25 properties in St. George, and until recently has continued to have an office in St. George, with a licensed agent working with her.

Originally it was not Joy’s plan to grow the brokerage beyond 40 doors. However, the current education she is receiving at Salt Lake Community College has opened new possibilities for the business. She is seeking a business management degree, with an accounting degree and is learning valuable knowledge that has added a new desire for expansion and a larger personal salary. The personal growth gained from this education has helped her to set goals, she has gained experience and understanding of how to better manage her office and the future staff she is planning to attain after implementing this S.W.O.T. analysis. She feels that this is a strong opportunity for the beginning of a new advancement in her career.

1 Web. https://www.legalzoom.com/knowledge/corporation/topic/choosing-the-best-type-of-corporation-s-corporation-or-c-corporation

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https://www.legalzoom.com/knowledge/corporation/topic/choosing-the-best-type-of-corporation-s-corporation-or-c-corporation

https://www.legalzoom.com/knowledge/corporation/topic/choosing-the-best-type-of-corporation-s-corporation-or-c-corporation

WHY S.W.O.T?Understanding management essentials and the principles behind management we have dissected

Desert Sage Properties, Inc. By completing a S.W.O.T. Analysis on this business we as a team can effectively achieve the major course goals of Business Management 1600 which are listed below. While cohesively providing a set of guidelines for Dessert Sage Properties, Inc. to increase their business and make them more marketable in the increase demand for property management.

Courses Goals Acquiring substantive knowledge in the field of their course Communicating effectively Developing quantitative literacy Thinking critically Developing the knowledge and skills to be civically engaged

Our specific goals in performing this S.W.O.T. Analysis is to provide Desert Sage Properties with the necessary informational tools to begin their expansion of their business; or more specifically, the areas relating directly to property management in Salt Lake County. Desert Sage has decided to allow us to do this analysis due to many pressing issues. The most important reason though, is that the owner of Desert Sage is seeking to find way in which she can be able to expand her business’s industry presence. Though the company is not particularly sure of the steps they need to take in order to put their business on the map, they are sure of a few things, and that is their goals. As it is our job to prepare Desert Sage for their big change, they assisted in providing us with a set of goals they hope to achieve.

As a result of this S.W.O.T. Desert Sage would like to accomplish the following goals:

Short Term-3to 6 months

To increase Desert Sage Properties internet presence. To open and maintain owner and tenant portals for real time access to property reports and

payment of rent. To expand the office, and make use of a part-time office assistant.

Medium Term-7 months to 18 months

Expand by 15 to 25 doors Strong internet presence, when searched on internet search engines. Real Estate Sales, Multiple Listing Service for Salt Lake County

Long Term-2 to 3 years

Expand by 40 to 60 doors Gain full time assistant and part time maintenance crew

Ultimate

To have a full service Real Estate Brokerage, taking tenants to homeowners.

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In making the changes that we hope to implement, Desert Sage will surely achieve these and much more. This is our mission; a mission that is just as important to us as it is to them.

S.W.O.T. ANALYSIS RESEARCH

EVALUATION

INTERNAL

Strengths Weaknesses Client-centered services. Put client’s

interests first. Managing your own rental properties.

Nobody cares about your property as much as you do as well as to find and keep good tenants.

Basic availability of computerizes records on business and real property tax

Knowledge of real estate taxation rules Solid understanding of condominiums

association guidelines Tenant screening background and credit

check Licensed home improvement contractor. Accounting background. Currently attending Salt Lake Community

College to obtain a business management degree, and a minor in accounting.

Currently on the Governmental Affairs Committee for the Utah Apartment Association. Served for 5 years in this capacity.

Flexible and willing to learn and use new technology.

Realtors Licenses

Cost effectiveness. Difficult to hire additional professional property manager.

Financial limit to expend the business to produce more revenue.

Client-centered services. “Professional” tenants can take advantage and live in the house for low cost

Distance from landlords, lack of communication.

Full-time job. The day to day work, no vacations and sick days. Have to stay on track 24/7

Leverage private and public social networks, virtual meeting platforms (might be Skype or another Internet resources, tablets that allow to connect and collaborate)

Education and training cost Affordable marketing tools Connections with competitive

management agencies Lead with revenue and keep expenses

lean as possible No control over tenants that flee

without payment Current cost of credit checks and fees

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EXTERNAL

Opportunities Threats Incomes fail to keep up with home prices Economic strength of the region that make a good time for relocation businesses from outside of state

Credit capacity allow bank slow to lend Foreclosure during recession damaged credit histories for former homebuyers Millennial’s different view about wealth (don’t want to tight up; they are renting, not buying) Difficulty for homebuyers have getting mortgages for buying homes Students at SLCC in search of homes Rent Plus/ fixing credit reports Personal assistant

FHA loans 3%-3.5% down payments for first time buyer VA loans provide 0% down and no closing cost for veterans and active military family members

Foreclosure during recession damaged credit histories for former homebuyers and potential rentals Short-lived credit histories (student loans debt) for young families Substantial economic uncertainty in

local area Prices are remaining strong for buyers

and sellers investment Builders provide more options and opportunities for custom build homes Foreclosures on market are cheaper alternative for fixer-upper buyers Low income housing

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INTERVIEW QUESTIONS & RESPONSES

1. What is the border? How many rental properties you have to own to benefit if you consider to hire a management service or a management company? Please, be specific with numbers. For instance, I own 15 properties and manage additional 30, and most of properties are located not near distance from me, what is the best solution to keep cost low?

2. If your rental property is located far from where you live how you handling hiring a property management company can be invaluable in dealing with the many issues that you will not be able to handle from afar (distance, costs?)

3. How do you market your company? What are most effective advertising techniques your company use to spread the information if there are low or no clients?

4. How do you keep contact with landlords that far away from their properties and having poor communicating habits?

5. What kind vendors do you hire? Do you hire big company service or general contractors that are licensed individuals who work on major and minor construction projects on your property? How reduced rate and keep low cost in this sector?

INTERVIEW 1 by Svitlana Harris

Liz Braun Coldwell Banker Residential Brokerage2180 S 1300 E St 140Salt Lake City Utah 84106(801) 232-2796

The number of properties that a manager would have to service in order to profit and maintain correctly would depend on several factors. Such as number of hours a week the manager worked, income per unit, if there was an assistant, condition of the units and locations of the units. Working plan would be needed to organize task and routine maintenance, inspections and other expected items. Also a budget break down would be helpful or perhaps a weekly or monthly spread sheet for receipts and hours. This would

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give you a better idea as to where the money and your time are spent. For a day off you could hire a person to fill in for you on a scheduled basis.

With today’s market being many young computer savvy people online and social media marketing have been the best form of low or no cost marketing.

Here is affordable web designer on Odesk.com (Devendra Sharma, he is from India, very professional)

I would suggest a contact management system that would email your clients regularly and remind you that you need to perform tasks such as calling your clients monthly or weekly.

Vendors build a list of companies that can do the big projects and emergency issues well and at a cost effective rate as well as a list of handyman that do the small and routine maintenance. Perhaps if you are managing several medium to large complexes you could consider hiring someone for each complex on a part time basis. Regular maintenance is really the key to keeping the cost down.

INTERVIEW 2 by Joy Tholen

Linda WillisAssociate BrokerCDA Properties8813 Redwood Road #D1West Jordan, UT 84088(801) 268-4134

One full time agent can handle about 80 to 85 properties efficiently. Multiple unit owners often ask for a discount. This works ok as the paperwork part is fairly easy as reports are generally combined, don’t lower you commission more that 8% in these instances as the maintenance and rental are still intensive and have to be completed and inspections need to be done regularly.

For effective property management a manager should live no farther than 30 miles from a property. As travel time should be considered into the management cost. This should be taken into account by an owner for himself as well.

The best techniques for marketing our company is social media, internet advertising, utilizing adequate SEO’s. Another thing is to make sure you connect your company and agents with other Real Estate professionals, and professional associations. We have also started offering ways for our tenants to get into a home, buy offering the services of mortgage providers and then an agent to help them look for a home that they can afford. Real Estate Sales have boosted our income to our brokerage and agents.

Email and texts are great ways to communicate with an owner, however, if texting take pictures of those texts and keep in a file for future reference. Another good way is to have accounting software set up to send regular messages to the owner to request repairs. If an owner is really bad about communication to cover yourself for emergency repairs have a

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clause in your contract giving you authorization for repairs to be made and you may want to include a dollar amount that doesn’t require prior owner authorization.

When it comes to vendors we have a couple of good handymen at our disposal. For high impact or liability exposure we use licensed contractors, i.e. Plumbers, electricians and HVAC. One way we have found to reduce costs for our owners is we will look for deals through Angie’s list if we have a specific item that needs repair and a special offer is being provided. We have also found some service provider loyalty by using the same vendors over. We also will set up something like furnace services for a set price with the HVAC provider. The same with sprinkler start-up and landscaping.

Stressed how important a good online presence is. Using software that gives your tenants easy access to pay their rents and also for owners to access what is going on with their properties. Advertising on Zillow, as well as craigslist, ksl, rentler, find ways to get on Angie’s list.

INTERVIEW 3 by Lamoure Rolle

Shawn SaundersOwner, ManagerGreen Natures Ltd.2387 W 68th St.3303 Hialeah, FL 33016(305) 495-3726

As Green Nature Company is new to the property management business, they may not pose a particular great a threat as other larger businesses for specific reasons.

Though Green Nature company is located in Utah, and isn’t a pressing competition problem for Desert Sage, they can look at this company and either learn from its successes, or its failures.

This business I interviewed unlike the one we’re analyzing has their own management team in place for special areas such as accounting, utilities, and maintenance of property buildings and yard.

Unlike Desert Sage, Green Nature company builds their own owns and then sells them or rents them. Desert Sage on the other hand manages buildings that have already been built. With this difference in business techniques, Green Nature merely manages 5 properties, while Desert Sage manages a total of 78 properties.

Green Nature believes that the best way to reduce cost if properties are not near you is by trying to reduce the amount of staff on the project. “More for Less.” In reducing staff they can resort to assigning one person more than one property to managing. They can also resort to hire one specific licensed individual (dependent on the task) and give them the responsibility of hiring persons to work under them for way less than hiring multiple persons.

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Green Nature chooses to market its company by means of billboard signs and other posters. They do not go the extent of mass media market because it has not been needed for them as yet at this point in their business. But if it was to be needed they would consider websites, and real-estate companies.

Ms. Saunders said that she would personally go and visit with her tenants every 2-3 months as it was her personally responsibility. But since her properties are not near to her she usually communicates via phone and email. These characteristics are similar to that of Joy’s from Desert Sage but Joy tends to visit her tenants a lot more frequently as needed by them.

INTERVIEW 4 by Benjamin Jett

Gracia AyalaCommunity ManagerBrighton Place ApartmentsWasatch Premier Communities135 W. Plumtree LaneMidvale, UT 84047(801) 225-7121

Ms. Ayala currently manages 430 units for Brighton Place. The Wasatch Company has 4000 plus units just in the Salt Lake City Area and has several other properties in up to five states. Each property has its own Property Manager which reports to a regional manager allowing the owners to focus on their ability to continue expanding the company.

With Wasatch Properties each property manager is required to live with in fifteen minutes of the property they currently manage. Also all the properties’ has an on call maintenance personnel for the late night and Sunday emergencies. The on call personnel are paid for travel and time on the job to elevate the renters paying out of pocket for professionals to be called out.

The most effective way that Wasatch markets itself is via the web. With basic tours of the properties and floor plans right at your fingertips to allows potential clients to have a base idea of what the personnel tour will be like. The company also uses mailers and radio ads. With a company this size their marketing has really no budget. Also they utilizes their current residence by offer discounts on rent if they refer a new renter and they move in.

Each property manager communicates weekly with regional managers. Then the report to the owners weekly as well. Once a month the owners tour the facilities of each property determining major projects or over halls that can make the properties better for the residences.

All major repairs such as painting, changing out toilets, faucets, and lighting are done by the maintenance crew. All members of the maintenance team are certified in several

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areas and continues training via online courses. If major projects such as flooring and carpet care they have a standard contractor for these projects. Also major contractors for ac units or furnaces. Also have the residence notifying the office of problems when they occur prevents major damages not to one unit but multiple units.

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S.W.O.T. ANALYSIS REPORT

After careful evaluation and in-depth research to determine the next step for Desert Sage Properties Inc., we have been presented with the following questions:

What are the most important elements of the company’s strengths and weaknesses? Why are these most important elements? What do they contribute to the company? How are important elements connected? How can important elements be further connected to create opportunities? How might we put steps in place to achieve these opportunities? What steps can be taken to limit the impact of threats? What do we expect from Desert Sage Properties if they were to implement our

recommendations?

SECTION I - Important Elements and Synergies

In this part of the analysis we will show how our most important elements from S.W.O.T. Evaluation can be connected to each other, and how it can benefit Desert Sage Properties Inc. Understanding the connections between elements on our table, our team can now logically demonstrate how these element work together to produce synergies.

Currently attending SLCC to acquire a Business degree –Strength Attain more knowledge of the business

environment.

Education and training costs-Weakness With a business degree she can do

most of her own training and save on cost

With the use of her current and future education, the owner of Desert Sage Properties Inc. can apply her knowledge of the business environment to train new employees on her own. For the most part, she knows everything her business and its goals. Doing her own training will save money, and it will also be done more efficiently as she knows everything her employees need to know. Once she has taught them the basics of the business, they can move forward performing the special skills that they were hired to.

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Accounting background-Strength Knowledge of budget creations

Lead with revenue and keep expenses lean –Weakness Accounting background enables her to

determine how she spend more to gain more.

The owner of Desert Sage Properties has an accounting background. She can use her knowledge of budgets to review revenue and expenses and understand the places monies should be spent to produce more revenue. Every great business knows that you must first spend money to make money. But, when to spend money, and to be able to realize what is too much or where to cut back expenses is necessary for the business to grow successfully.

SLCC students in search of homes –Opportunity Looking for the cheapest place

Low incoming housing-Threat Cheap but not always in good condition

Using the connections that Joy is making at SLCC is an opportunity for Desert Sage Properties. Students are looking for places to live that are inexpensive, clean and in good condition. The opportunity to help students to find this kind of housing, without turning to low income housing, can build the company’s exposure in the rental market and also in the future home purchasing market.

Affordable marketing tools – Weakness Advertisement by flyers and other

forms of physically communication rather than by media.

Economy - Threat New newspapers come out

every day.

Personal canvassing is an affordable alternative to more expensive advertising methods like newspapers and magazines. Since newspapers and magazines offer a short cycle of advertising the use of these tools can be financially taxing. Strategically located flyers in high foot traffic areas (colleges, universities) will also give a wide variety of leads and opportunities for the future.

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Willingness to use internet and technology - Strength

Be innovative

Availability of the internet presence - Opportunity

Having internet presence increasing innovation and potential.

A willingness to use internet and technology is essential strength of the company that can significantly improve the business performance. Today the Internet is considered the most effective marketing tool. In order to maximize returns, Desert Sage Properties can implement an advertising website to lease production and attract new tenants. The internet is also convenient to get information about vacancies, price ranges, special offers, etc. to increase the number of perspective tenants. Additionally, it gives the opportunity to compete with other leasing competitors and protect the stability of the company.

Licensed home improvement contractor – Strength

Save time that would be spent looking for an outside contractor.

Economy – Threat Services are improving just as fast as

the economy is changing.

One of the major strengths of Desert Sage Properties is its access to a licensed home improvement contractor. This then can bound to substantial economic uncertainty of today allowing the company can take advantage and provide economically efficient services regarding the retaining of properties. This strength also gives the company the ability to be proactive in maintenance schedule, and responsive with repairs. Thus providing for reduced costs and sufficient time between former tenants move-out and new tenants move-in.

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Difficulty for homebuyers have getting mortgages for buying homes - Opportunity

The less persons that are able to get mortgages the more that are willing to rent, especially those that move frequently.

Loans - Threat FHA loans 3%-3.5% down payments

for first time buyers VA loans provide 0% down and no

close cost for active duty military members

Having a knowledge base of military families and knowing that they move predominately every four years and they live in rental properties Desert Sage Properties can tap into a major resource. Military members are compensated for their rent or mortgage. A majority of military members upon their last transfer tend to stay and buy homes in the area of their last duty station. This not only increases revenue but can increase client referrals for a property manager as well as a realtor.

Personnel Assistant – Opportunity As the business grows, one will become

affordable and necessary.

Full-time job - Weakness Cost effectiveness. Difficult to hire

additional professional property manager

With the potential of the business growing a personal office assistant is required. By hiring an assistant a full-time job can turn into a manageable eight to nine hour day. Personal assistants can make for a more smooth and efficient work environment. If everything is getting done when it should be done, and to the best of the businesses ability, revenues will in turn flow through the roof. With that, a personal assistant, along with any other addition to the work force, will eventually pay for themselves while still producing profits.

Due to the presence of the various synergies we have found and connected, we conclude that Desert Sage Properties Inc. has more than enough potential to move up in its industry. With the right

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Marketable - Weakness Marketable - Opportunity

Making Desert Sage Properties more marketable by use the internet, mailers, referrals, and Angie’s List, revenues can increase. Having an office assistant to answer phones, make appointments, keep website, blogs and office work up to date, can maintain an air of business efficiency. As the number of properties increase, bringing on another licensed property manager under Desert Sage Properties, the owner can start to distribute the responsibilities to others thus making Desert Sage more marketable.

recommendations they will be able to turn their strengths and weaknesses into opportunities, and in turn limit the impact of threats to their success.

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SECTION II – Recommendations and Expectations

With this S.W.O.T. analysis we have identified the challenges that Desert Sage Properties, Inc. has been facing in today’s rental management market. These problems are caused by having progressive and destructive internal factors, as well as having external threats and opportunities for the company.

When we discussed the recommendations we utilized the leverage the company has in their strengths and opportunities to lay out a strategic timeline. Though there are major weaknesses and threats that affect the business we have mapped out a strategic plan and budget to combat them. The business environment is a continuous changing cycle. By having this S.W.O.T. Desert Sage Properties, Inc. can revisit this analysis for immediate recommendations and opportunities giving them a management tool at their fingertips at any time during the growth of the business.

According to S.W.O.T., our team identified the main strategic directions for Desert Sage Properties, Inc. that would maximize the growth and success of the business. The competitiveness of the company is determined by its economic efficiency indicators. This S.W.O.T. analysis revealed the following trends in the major economic indicators which increase in the following areas; the volume of transactions, net income, and profitability.

Three enclosures have been attached to the recommendations. Enclosure 1 is a budget that the team deemed necessary for Desert Sage Properties, Inc. This budget is a breakdown of the cost analysis needed to start making them more marketable. By improving marketing activities it will enhance the competitiveness of the company, and as a consequence lead to improved economic performance. Utilizing modern technology they can minimize costs.

Enclosure 2 is a detailed timeline breaking down Desert Sage short term goals discussed in “Why S.W.O.T.?” This timeline makes the company accountable for keeping on track to reach the attainable and realistic goals that have been set for the company. By taking this course of action the company can leverage the unique characteristics of the business and the power to maximize the chance of success.

Enclosure 3 is a detailed analysis of the potential cash inflow shown during the three different time frames. From short to long we demonstrated to Desert Sage has the potential to triple their income. By aligning strengths with available resources and timing opportunities they can diversify themselves from other small property management businesses.

All three enclosures used in conjunction with the S.W.O.T. could be used as valuable tools if needed to present to banks or other potential investors. With this clear proposal, knowledge becomes power. With this S.W.O.T. analysis Desert Sage Properties, Inc. can fully understand where the company stands against competitors. Using this also sheds light on the state of the business, allowing them to position the business, emphasizing the plusses and minimizing the negatives.

If Desert Sage Properties Inc. considers this analysis and follows our recommendations, we expect that it will be well on its way to making an increased presence in the property management industry.

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Enclosure 1 – Proposed Budget for S.W.O.T. Analysis for Desert Sage Properties, Inc.

Item Amount Needed

Actual Amount Spent

Explanation of Expense Name & # of Contact

Completion Date

Office Assistant

$ 1,150.50

Office assistant to help with social media. 5 hours weekly. Includes labor taxes and insurances. Cost for quarter

Alltrades Staffing 801-313-1234

Website Improvement

$ 1,100.00

To add to existing website, improve SEO (search engine optimization); add additional portals for tenants and owners. Add additional links to social media and blog. This is an upfront cost with a minimal cost monthly for regular SEO updating

Dennis Martin 818-357-7830

Accounting Package Improvements

$ 350.00

Expansion for the owner and tenant portals, labor to implements

Buildium.com

Hard Printing Costs x 2

$ 4,000.00

Printing to produce and mail out flyers to owners of rental properties. Approx 1500 mailings, if this produces results will do again within the quarter.

Sunrise Press 801-984-5555

Salt Lake Board of Realtors

$ 1,500.00

Join Salt Lake Board of Realtors, to increase monthly commissions by selling and helping tenants to purchase homes.

Salt Lake Board of Realtors 801-542-8840

Website Improvement

$ 1,000.00

To improve website after joining the Salt Lake Board of Realtors. Increasing SEO's, additional links to the SLBOR website and additional social media and blog expansion.

Dennis Martin 818-357-7830

Total $ 9,100.50

Enclosure 2 – Timeline Review for S.W.O.T. Analysis for Desert Sage Properties, Inc. Date Objection Payments

to be made

Actual Payments made

Process Time Budgeted for completion of Objective

Projected date of completion

Actual Date Completed

Results

4/27/2015

Increase internet presence

$ 500.00

Contact Dennis Martin, pay down payment for him to begin his process of increasing internet presence.

Dennis will take about 3 weeks. He will make necessary changes to current website by editing content and setting up additional email and contact accounts. He will also set up other social media accounts.

5/18/2015

4/27/2015

Open owner and tenant portals

$ 350.00

Fill out necessary paperwork from Buildium in preparation of online payment. Prepare all current properties for owner and tenant portals to be opened. While waiting for approval from Buildium for the tenant online payments, owner and tenant testing can occur.

2 weeks. 5/11/2015

5/12/2015

Owner portals utilized

Post to owner portals all paperwork for the month. Giving owners the opportunity to use the new system and contact DSP with

1 to 3 months 8/12/2015

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Date Objection Payments to be made





Results

questions and additional instruction.

5/18/2015

Training of the use of the new internet resources

$ 600.00

Receive in house training regarding use of the website and other items set up by Dennis Martin. This is so that pages can be added and edited per the daily, weekly or monthly needs of the company. By being done in-house it saves money and time.

1 week, intermittently with Dennis Martin

5/25/2015

4/30/2015

Upgrading property information onto Buildium

Insert pictures, ads, and information for individual properties onto the Buildium website

1 week to 10 days 5/11/2015

4/30/2015

Preparing office for running of new website and efficiency

Organizing individual property files to work in coordination of upgrading of property information above

1 week to 10 days 5/11/2015

5/25/2015

Full implementation of online payments of tenant rent.

Approval of Buildium and notifying tenants that this new process is available

2 days to 2 months 6/10/2015

6/27/2015

Review of short term goals

Review of short-term goals, in preparation of meeting with Dennis Martin

1 day 6/28/2015

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Results

6/29/2015

Monthly SEO and advertising adjustments.

$ 154.00

Work with Dennis Martin in making changes to the SEO and advertising. To adjust for stronger online presence.

1 week 7/7/2015

7/27/2015



1 day 7/28/2015

7/29/2015

Monthly SEO and advertising adjustments

$ 154.00


1 week 8/7/2015

8/1/2015 Employ a part-time assistant. Train said assistant. 5.5 hours a week. Monthly cost.

$ 387.50

Employ and train new office assistant in the use social media sites and updating website for advertising.

2 to 3 weeks 8/21/2015

8/28/2015



1 day 8/29/2015

8/31/2015


$ 200.00


1 week 9/7/2015

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Results

9/28/2015



1 day 9/29/2015

9/29/2015


$ 200.00


1 week 10/7/2015

10/1/2015

Prepare for the printing of flyers.

$ 300.00

Arrange with Sunrise Press for the printing and mailing of flyers. Pay down payment.

3 to 4 weeks to final mailing

10/31/2015

10/28/2015



1 day 10/29/2015

10/29/2015


$ 200.00


1 week 11/7/2015

11/1/2015

Mailing of printed flyers

$ 1,700.00

Mailing of flyers, balance for flyers due.

11/1/2015

11/1/2015

Increase in rental property management

Should have an increase in doors by 3 to 5 doors

11/1/2015

11/28/2015

Review of new short term and medium term goals


1 day 11/29/2015

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Results

11/29/2015


$ 200.00


1 week 11/7/2015

12/28/2015



1 day 12/29/2015

12/29/2015


$ 200.00

Work with Dennis Martin in making changes to the SEO and advertising. To adjust for stronger online presence. If necessary make financial adjustments to prepare for next year’s budget.

1 week 1/7/2016

1/1/2016 Office should be running smoothly. Make any necessary adjustments to accounting program and office routines

$ 200.00

Review finances with CPA in preparation of new tax year.

1 week 1/7/2016

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Results

To be done monthly



1 day

To be done monthly


$ 200.00


1 week

5/1/2016 Prepare for the printing of flyers.

$ 300.00

Arrange with Sunrise Press for the printing and mailing of flyers. Pay down payment.

3 to 4 weeks to final mailing

5/31/2016

5/31/2016

Mailing of printed flyers

$ 1,700.00

Mailing of flyers, balance for flyers due.

5/31/2016

6/1/2016 Increase in rental property management should be seen at this point with an increase by 15 doors

$ 1,500.00

Re-evaluate S.W.O.T. analysis. Adjust where needed. May want to re-evaluate the MLS service and begin to do home sales at this time, expanding management exposure as well as an increase revenues.

1 week 6/7/2016

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Results

To be done monthly



1 day

To be done monthly


$ 200.00


1 week

8/1/2016 Expansion of part-time assistant’s hours to 15 to 20 hours a week. Monthly expense

$ 1,400.00

Evaluation of the expense of increasing office assistants hours to

5/1/2017 Should have expanded to additional 40 doors.

Review progress of S.W.O.T. analysis. Decide where to make additional expenditures to increase exposure to increase property management business.

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Enclosure 3 – Projected Income and Expenses to Implement S.W.O.T. Analysis for Desert Sage Properties, Inc.

Item Initial Investment Needed to Implement S.W.O.T.

Short Term Goal-Three to Six Months-3 to 5 doors

Initial Investment to Implement Medium Term Goal

Medium Term Goal-Seven to Eighteen Months-15 to 25 doors

Initial Investment to Implement Long Term Goal

Long Term Goal-Two to Three Years40 to 60 doors

Initial Investment to Implement Full Service Brokerage Goal

Full Service Brokerage

Monthly Income to date

$ 3,500.00

$ 3,500.00

$ 3,500.00 $ 3,500.00

Projected Monthly Income Increase

$ 410.00

$ 1,640.00

$ 2,870.00 $ 2,870.00

Projected Commissions Increase with Sales Included into Brokerage-Monthly Average

$ 5,000.00

Projected Monthly Office Assistant Expense

$ (387.50)

$ (767.00)

$ (1,534.00) $(1,534.00)

Projected Website Improvement/Maintenance-Initial Investment

$ (1,100.00)

$ (1,000.00)

Projected Monthly Maintenance for Web Site and SEO

$ (150.00)

$ (200.00)

$ (200.00) $ (200.00)

Projected Accounting Package Improvements-One Time Fee

$ (350.00)

$ -

$ - $ (350.00)

Hard Print Mailings

$ -

$ (2,000.00)

$ (2,000.00)

Joining Real $ (1,500.00)

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Estate Association-MLS for Real Estate Sales Total Initial Investment/Projected Monthly Increases, as S.W.O.T. Analysis Progresses

$ (1,450.00)

$ 3,372.50

$ (2,000.00)

$ 4,173.00

$ (2,000.00)

$ 4,636.00 $ (2,500.00)

$ 9,286.00

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s.w.o.t. analysis · web viewlicensed home improvement contractor. accounting background. currently...

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