Real Estate Commission Advance helps real estate Agents to become more Competitive in Business

Reading Time: 2 minutes

By USDR

Do all real estate agents prefer to take commission advance? Well, most of them do because the financial solution perfectly matches the needs of agents who have to deal with delayed commission payments. Commissions are the only source of money flowing into the business, which is why it is necessary to ensure that the money comes in fast. However, according to the practice of the real estate industry, the commission is payable only when the deal closes, which takes quite some time. Real estate agents can receive the commission promptly by availing the arrangement of real estate commission cash advance. They receive the money as soon as they submit the sale contract to the financial company offering the service. Why real estate agents should take commission advance would become clear on reading this article.

Generates positive cash  flow

Quick availability of cash lends more liquidity to business that facilitates growth. When real estate agents receive the commission promptly, the money comes in handy to meet the operational and overhead expenses of the business and to maintain the momentum that helps the business to grow. As the infusion of cash creates positive cash flow, the marketing, and allied promotional activities gain pace that leads to better business. Moreover, it creates the space necessary to expand the business by overcoming the impact of delay in receiving commissions only after the deal closes.

Retain control of thebusiness

When you receive the commission in advance, you are neither taking loan nor using others money but only advancing the payment that is yours. Just imagine what would have happened in case you opted for venture capital for funding the business. Firstly, it is difficult to find an investor interested in your business and secondly, although you get the capital you are likely to lose the controlling aspect of the business that goes to the investor. You lose vision of the business that is very much yours only. By taking commissions in advance, you retain the control of business while enjoying financial flexibility.

No need to depend ondebts

Availing your earnings a bit early helps to keep cycling your own money in business without having to depend on debts that can turn quite problematic. Since the business cycle of real estate has the delay in commission payment built into the system, once you start taking debts, it opens the floodgates for more debts to keep pace with the cycle of commission recovery only after completion of the sale deal. When you avail real estate advance commission, the fees for selling the commission at a discount is far less than the interest on payable on credit cards.

Pump back money into the business

Aggressive marketing helps to gain a competitive advantage in real estate business. When real estate agents have access to the commission immediately on signing the sale contract, they can use the money to augment the marketing and advertising activities and make the business grow more effectively.

There can be nothing better than using your own money for growing your business.

All opinions expressed on USDR are those of the author and not necessarily those of US Daily Review.
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