Learn how Noel Christopher, Senior Vice President of National Business Development at Renters Warehouse, has mastered the art of buying and selling property management businesses.
In this interview with Noel Christopher, you'll learn what big box companies look for when scoping out new properties to purchase, how to property value your company and portfolio, making your business attractive to buyers, and how to find the best buyers for your company.
[2:15] Noel Christopher’s background in commercial real estate
[3:25] Renters Warehouse
[6:05] The most common mistakes buyers make when acquiring a new company
[7:50] How to account for and deal with churn
[9:45] Is churn inevitable?
[11:00] The dangers of closing too quickly and not doing your due diligence
[12:40] How to evaluate a portfolio
[16:40] Creating a plan for taking over a company
[18:00] The biggest mistakes sellers make
[21:45] How to create a business that other people want to buy
[24:00] Utilizing a company’s current employees when you take over
[26:55] Creating an incentive for a business owner to transition into an employee
[30:00] Working with brokerages and accidental property managers
[33:00] Identifying the two types of acquisitions: Companies versus contracts
[35:10] Is Renters Warehouse flat fee pricing applicable everywhere?
[38:00] Finding people that are willing to sell
[40:15] Letting go of the all or nothing approach
[41:40] Should you use a non-compete?
[42:35] How Renters Warehouse structures their transactions
[44:44] Do you need a middleman to handle the deal between two companies?
When you buy a portfolio, you're married to the seller for a little while.
The biggest mistake a seller can make is overvaluing their company.
For people looking to buy a property management company, a great target audience are the brokerages that are accidental property managers.
It's not about the lowest price, it's about the quality of service.
Want more from Noel Christopher? Send him an email at noelc@renterswarehouse.com or connect with him on LinkedIn.