Are you about writing a property management business plan? If YES, here is a sample property management business plan financial projection, cost, budget & forecast suitable for investors.
- Executive Summary
- Market Analysis
- SWOT Analysis
- Financial Projection
- Marketing Plan
- Marketing ideas & Strategies
Our Startup Budget and Expenditure
- The Total Fee for incorporating the Business in New Jersey: $750.
- The budget for Liability insurance, permits and license: $2,500
- The Amount needed to acquire a suitable Office facility with enough space in Atlanta, Georgia for 6 months (Re – Construction of the facility inclusive): $40,000.
- The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al): $5,000
- The Cost of Launching our official Website: $600
- Additional Expenditure (Business cards, Signage, Adverts and Promotions et al): $2,500
Going by the report from our research and feasibility studies, we will need about $60,000 to set up a property management company in Atlanta, Georgia, US.
A Sample Property Management Business Plan Financial Projection
Sources of Income
Hilary Tyson and Co Property Management Company’s major aim, is to maximize the profits in the real estate industry via delivering quality and affordable property to our highly esteemed clients and effective property management on behalf of our business partners (landlords and property owners). Below are the sources we intend exploring to generate income for Hilary Tyson and Co Property Management Company;
- Developing Properties for our Clients
- Renting of Properties /Leasing of Properties; Leasing for a fee or percentage of the gross lease value.
- Sale of Fully Furnished Properties
- Sale of Landed Properties
- Lease of Bare Land
- Manage Properties and Facility for Clients
- Property Makeover Services
- Real Estate Consultancy and Advisory Services; Hourly Consulting for a fee, based on the client’s needs.
- Home Selling Kits — guides advising how to market and sell a property.
The fact that the property market is indeed a booming market means that investors are always going to be attracted to the industry. No doubt it is difficult to see multi-millionaires who don’t have interest in investing in properties; real estate investment is one business portfolio that is common to all multi – millionaires in the world.
In essence, the more people acquire properties, the high the chances of property management companies will secure business deals. Also as long as tenants are always in search for accommodation, there will always be business for property management companies.
We have perfected our sales and marketing strategies and we are set to hit the ground running and we are quite optimistic that we will meet or even surpass our set target of generating enough income / profits from the first month or operations and grow the business beyond Atlanta, Georgia to other states in the United States of America within record time.
We have been able to critically examine the real estate market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some workable assumptions as well;
- Rent / lease a minimum of 30 housing units to clients (flats, duplexes, studio apartment et al) within the first 6 months of operations
- Rent / lease a minimum of 20 office facilities to clients within the first 6 months of operations
- Manage a minimum of 20 properties for clients within the first 6 months of operations
- Sell a minimum of 20 hectares of land within the first 12 months of operation
- Provide advisory and consultancy services for a minimum of 10 client per month
- Handle a minimum of 20 building makeover projects within the first 12 months of operations
N.B: Please note that we could not put a specific amount to the projection because the prices and commissions vary for different properties and for different clients. Part of our business strategy is to work within the budget of our clients to deliver quality property / properties, hence it will be difficult to project what we are likely going to make from such deals.
But the bottom line is that we are definitely going to make reasonable profits from any business deal that we execute since we work based on commissions. The property management market is structured in such a way that property managers will always make profits from any deal they handle as long as they conducted due diligence before signing the deal.