 |
|
| NATIONAL ASSOCIATION OF REALTORS® | Videos | Store | Library | Directories | Need Help? |
| Search REALTOR.org | Register | Login | My Account | NRDS | |
 |
|
| Four-Step Process to Create a Commercial Structure (CS) An abbreviated version of what can be found in detail in the Commercial Structures (CS) Guide which is also located online at http://www.realtor.org/structur.nsf/ All Rights Reserved October 2002 STEP ONE: Research the potential for creating a viable CS 1. Select a leadership team to spearhead the effort to propose and create the CS. 2. Identify the jurisdiction area (one or more parent associations) and realistically how many members the CS can support. 3. Asses market conditions; identify potential members, build a member profile, and determine member needs. STEP TWO: Develop a strategic plan based on association resources; identify the structure to be adopted; and propose bylaw changes. 1. Develop a strategic plan that identifies the mission, goals, objectives and strategies regarding what core services are needed and how they will be delivered. 2. Determine which type of organization meet the desired goals: a Division, Council or committee, a separately incorporated subsidiary corporation (Society), or a Cooperative Multi-board Division (regional commercial division organized as a joint venture between two or more REALTOR® associations that own and administer it). 3. Submit the strategic plan, the type of structure that has been selected, proposed name, and proposed bylaws changes for approval by the association Board of Directors. 4. The approved bylaws must be submitted to the National Association of REALTORS® for review. Upon approval by NAR, the association Board of Directors may proceed with implementing the CS. STEP THREE: Implement the strategic plan 1. Once the parent association Board of Directors has approved the Commercial Structure and NAR has approved the proposed changes to the bylaws, formulate an action plan and present it to the Board for approval and further direction. 2. Develop a specific action plan that describes how the CS will be implemented, what the Leadership and staff of the CS will do, when, and who will be accountable. 3. The action plan should also include a proposed budget with a detailed description of the funds needed for start-up; where the funds will come from, if necessary; how the CS will be financed going forward; who will prepare a Pro Form a budget; and who will collect the dues. 4. It is strongly recommended that whatever governing structure is selected, the parent association of the proposed CS discuss its plans with potentially affected neighboring associations well in advance to identify any potential problems and attempt to resolve them before they become divisive. 5. Once the strategic and action plans are in place, the CS can move on to form committees; set a schedule of meetings and programs; develop a marketing plan; publicize meetings; conduct simple, fast-paced, and on-time meetings and whenever possible include some time for participants to market their properties. STEP FOUR: Monitor, evaluate and modify programs, benefits and services 1. During the implementation and growth stages, the governing body should closely monitor the CS through regular reports on programs, comparing actual expenses with the budget, reviewing membership trends, and assessing how members are responding to services. 2. Stay in tune with the reality of the current marketplace and eliminate, modify, or expand programs as needed. So long as you have programs, benefits and services that help members increase their business, you will have a dedicated membership and your Commercial Structure will thrive. CONCLUSION The CS will experience several stages of development after it makes the commitment to deliver new commercial services to its members. Thoroughly completing each stage, one step at a time, is important for the whole process to be achievable. Each stage requires strong leadership, dedicated volunteers, a core of active members, and a supportive staff. The rewards of establishing a CS are numerous, but most of all, commercial members will have their own identity within the local REALTOR® association, they will be better served, and hopefully they will be more competent and more profitable. There are a number of resources available to help you through the process. Other CSs can tell you what was helpful for them (you can find them listed online at http://www.realtor.org/structur.nsf), and the NAR staff in the Commercial Real Estate department (888.648.8321) are ready to assist you. |
  |
 Copyright NATIONAL ASSOCIATION OF REALTORS® Headquarters: 430 North Michigan Avenue, Chicago, IL. 60611-4087 DC Office: 500 New Jersey Avenue, NW, Washington, DC 20001-2020 1-800-874-6500 Terms of Use | Privacy Policy | REALTOR.com | Contact NAR | Site Map |