Commissions land in lumps and payroll lands every two weeks. Working capital helps brokerages and property managers fund staff, marketing and growth between closings.
Apply Now →The word real estate covers businesses that earn money in very different ways. A brokerage earns commission when a deal closes, which can be months after the work began. A property management firm usually earns a steady fee from the buildings it runs. Each shape creates its own funding questions.
A brokerage in New York can spend heavily on agents' desks, listing photography, advertising, software and licensing support before a single closing happens. A property manager, on the other hand, has recurring revenue but takes on payroll for staff in the field and the office, and can wait on owner reimbursements for expenses it paid on a building's behalf.
An agent can spend weeks showing units or pitching a listing, and the deal may still fall through or slip. Even after a signed contract, the closing date is out of the broker's hands, so revenue forecasting is guesswork for the small firm.
Listing photos, video tours, portal placement, signage and paid ads are bought in advance. A strong month of marketing may show up in revenue a quarter later.
Growing a team means offering support, training and tools before the agents produce. A new team lead who brings five agents brings five new cost lines at once.
Both brokerages and managers invest in software that tracks leads, listings, leases and maintenance requests. These tools tend to charge monthly seats, so adding people raises recurring costs immediately. Owners often wonder whether to buy better systems before or after growth arrives, and the honest answer is that systems should come first if the current process breaks above a certain portfolio size.
Managers collect rent and pay vendors, but there is a float between money coming in and money going out. When a building owner is slow to fund a repair, the management firm may front the plumber or the elevator inspection. Staffing a new portfolio also takes weeks, because on-site payroll starts on the first day and the management fee starts later.
For illustration only: a firm that adds a 100-unit building might need new staff, software seats and a security deposit on a vendor account totaling $30,000 before the first month's fee arrives. That cost is knowable in advance, which makes it a good candidate for planned working capital rather than emergency borrowing.
Applying takes about five minutes and uses a soft credit pull. We review about three months of business bank statements and do not require tax returns. FICO 500 and above is considered. Funding runs from $25,000 to $5,000,000 and can arrive in as little as 24 hours after approval. Licensed solo agents and sole proprietors operating under their own name can apply.
Commissions arrive on closing dates that the broker cannot control, while payroll, marketing and desk costs are due on a fixed schedule.
Yes. Sole proprietors can apply. We look at about three months of business bank statements rather than tax returns.
Common uses are staffing a newly won portfolio, fronting vendor payments before owner reimbursement, software and office expansion. Funding runs from $25,000 to $5,000,000.
About three months of business bank statements, with a soft credit pull. FICO 500 and above is considered, and tax returns are not required.
In as little as 24 hours after approval.
Three months of business bank statements and a 5-minute application. FICO 500+ considered. $25,000 to $5,000,000, funded in as little as 24 hours.
Apply Now →It takes about two minutes and it will not affect your credit score.
No obligation • No impact to your credit score
