Real estate entrepreneurs tend to be big fans of planning out our year. Most people in business will tell you that it is crucial to give yourself and your companies goals for the new year. When you are planning for your U.S. real estate in 2013, don’t overlook how important it is in the process to account for your previous year. If you want to be sure you are implementing goals that are realistic and moving forward , it is essential to take stock of how you and your business performed the previous year.
Your 2012 U.S. Real Estate Audit
Yeah, I said it – audit. Now, while most people have learned to hate the sound of an audit, performing an annual audit on your U.S. real estate business will boost your bottom line the following year. A very basic annual audit should be an analysis of expenses and income. You need to look at how much you are spending for your company and how much those efforts are paying off. This exercise is so important because it will tell you if you need to put more into a project or curb spending for the following year.
Other elements you want to look at past the basics would be:
a) Internal strengths of your company and ways to leverage these to produce more
b) Internal weaknesses of your company and how to eliminate them
c) Potential external competition or problems for 2013 and some ideas to address theses
Once you have a brainstorming session on your overall company direction and a grasp o the numbers, it will be a great time to think about new projects you want to take on in 2013 – whether it is getting involved in joint ventures, apartment complexes, property management – you can figure out what is best suited for you and your team. I like to do the basic audit first and then brainstorm new ideas. It is a good idea to do these exercises with a partner and then swap reports to see what you may have missed. This will give you the opportunity to gain vital insights about your company!
A Bigger, Badder 2013 Action Plan
After you have finished your audit, read over you and your partners notes, it is the fun part. You get to make your action plan It’s a great idea to tackle each issue and give yourself simple steps with specific deadlines to get everything accomplished.
The only way to make 2013 bigger and better is to plan it out. Make no mistake, it is not just having a plan, it is how you make your plan to. If you want to have a strategic plan going forward, your annual audit will give you all the information you need to move forward. You can apply this type of audit on your personal life as well – it really is amazing how just an hour or two of your time can build you a fresh new understanding.
Here’s to 2013 🙂
P.S. Remember, a plan is just that. The blueprint is the idea, making it a reality means you will have to be flexible and adaptable. Understand that you need to stick to your overall goals (to kick ass) with specific tasks and steps and keep at it.