EP338 How To Run Your Real Estate As A Business With Megan Hubner

A Canadian Investing in the U.S. with Glen Sutherland

This conversation with Megan highlights the importance of treating real estate investing as a business, emphasizing the need for systems and processes to manage operations efficiently, especially when starting with a smaller portfolio. Here are some key points: Business Structure: Investors should break their operations into key areas like accounting/finance, operations, sales/marketing, and HR. Setting up systems such as CRMs, project management tools, and SOPS from the start (with 3-5 properties) is much easier than trying to fix things after growing to 35+ properties. Timing and Organization: Investors are encouraged to focus on systematizing their operations early on. This can involve time-blocking creative activities (e.g., marketing) and standardizing accounting processes (e.g., paying contractors at set times). First Hires: The typical first hires for real estate businesses include a bookkeeper or a social media specialist. Virtual assistants (VAs) are also valuable, but investors must know what tasks to delegate by creating clear job descriptions and differentiating between high-value and low-value tasks. Scaling Challenges: As portfolios grow, having software that integrates everything into one system (e.g., HubSpot) is invaluable for efficiency. Many investors resist change if they think their current process works, but organizing early makes scaling smoother and avoids a mess later. Consulting and Specialization: Specialists, such as a consultant or fractional CFO, can help implement systems and take on specific roles, freeing investors to focus on higher-level strategy rather than day-to-day tasks. Investors can also hire professionals on a short-term or project basis, minimizing long-term costs. Hiring Strategy: When hiring for specialized software roles or complex tasks, it's better to hire someone with expertise in that area rather than opting for a lower-cost general VA who may need extra time to learn the tools. The focus is on working on the business rather than getting bogged down in the day-to-day tasks, allowing for more growth and scalability.