Quick Takeaways

  • Franchises often come with brand recognition, already in place policies and procedures, and proven success
  • Independent firms often come with more room for personalization, freedom, and lack of what some feel can be arbitrary rules
  • There is no perfect answer, choosing between a franchise and an independent firm takes research and a serious look at your goals

Source: Ask Sean: Should I Buy a Franchise or Start my own Brokerage? (The Close, Dec.. 14, 2020)

Real estate franchising allows REALTORS® to start their own business but benefit from the already existing brand awareness of a larger company. Franchising, which occurs in almost every sphere of business, is perhaps most well-known in the restaurant and fast-food industry. Traditional franchises usually are comprised of a broker/owner and an office of agents, but the real-estate world also has home inspection franchises, property management franchises, and even estate sale franchises.

Independent real estate brokerages often allow agents more freedom. They also have the benefit of being perceived as more “local” than large franchises, which is often appealing to buyers and sellers who feel that agents may know more about neighborhoods and local happenings.

There are many things that factor into your decision to go with a franchise or independent. From up-front fees to brand recognition, flexibility to trail-blazing, your priorities will determine the type of real estate brokerage you choose to be part of - there is no wrong answer!

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