đź§± Why The Best Agents Don't Need Traditional Brokerages Anymore

This $25B invisible brokerage started with 100 agent interviews

🔍 All Case Studies: Blogs & Videos

7 years ago, Guy Gal met an agent doing 40 transactions a year who said something that changed everything:

"I would rather you actually solve my problems than give me a higher split.

I'm happy to pay more if I no longer have to be responsible for conveying transactions in the way that I currently do."

The agent was spending half his time on administrative tasks, which she wished the brokerage could solve for her.

Her frustration was simple:

 "One day I will start my own brokerage."

Guy's response was simpler:

"Why not now?"

This playbook shows you how.

— Andrew

Part I: The Capacity Problem Nobody Talks About

Here's what Michelle Kim taught Guy:

She was doing $24 million in volume, but still referring business out to other agents for only 25% because she had no more time. 3 kids. Full capacity.

The math was painful. Every referral was 75% lost revenue.

"The thing that constrains good agents is not a lack of opportunity, it's a lack of capacity."

And when you're spending time on:

  • Transaction coordination

  • Document management

  • Vendor coordination

  • Payment reconciliation

  • Administrative tasks

That's time you can't spend with clients.

Part II: Why Your Brokerage Wants You Small

Guy discovered something dark about the industry:

"A traditional brokerage would rather have 1000 agents that close one deal a year each at 50% splits, than to have 100 agents that close 10 deals a year each at 20% splits."

Same transaction volume, double the profit.

The system is designed for the average agent doing 3 deals a year. Not for you doing 30, 50, or 70+.

That's why 70% of transactions are done by part-timers.

That's why experienced agents subsidize inexperienced ones.

That's why some big box national brokerages cater to and recruit new agents.

They’re built for the new agent, not the top producer.

Part III: The Community Compound Effect

Guy's observation after watching top producers:

"A great agent is a great member of the community before they're a great business builder."

But here's what most miss:

Community isn't a marketing tactic, it's brick-laying work.

"It's heavy, it's not shiny. It's not the quick rinse, repeat, look at a dashboard, make a phone call, write an email, transactional type of thing."

Part V: Building Without Burning (The Long Game)

Guy studied the San Antonio Spurs:

"In the last 20 years, they've won more championships than anyone. 75% win percentage. Because their philosophy is: we win long, we don't win short."

Compared to the Dallas Mavericks:

1 championship, then mediocrity.

"They mortgaged the future to go all in to be successful once."

Applied to your business:

Don't take paid leads that own you.

"If that's your only principal motion... when that portal wants 5% more of your commission income, that turns your entire business upside down. That's the entirety of your margin."

Build relationships, not dependencies.

While the Dallas Mavericks mortgaged their future for one championship, the Spurs won five over 20 years with a 75% win rate.

"Life is long, and the best way to win is to win long."

Short game thinking:

  • Buy leads from portals

  • Chase quick transactions

  • Sacrifice tomorrow for today

Long game thinking:

  • Build community relationships

  • Create genuine connections

  • Invest in lasting systems

The portal that sells you leads today will demand 5% more tomorrow. That's your entire margin. Gone.

But the community you serve? Those relationships compound forever.

Part VI: The Boutique Advantage (Being Different Together)

Traditional brokerages offer a deal:

"You get to be together, but the cost of being together is being the same."

Side discovered something different:

"You get to be different but together."

Guy admits this honestly about Side partners:

"I look at their brands and think, 'That doesn't make sense to me.'

But you know who does? The 100 people a year who enthusiastically work with them."

That's the point.

When you’re for everyone, you’re for no one.

Stand for someone.

The Closing Loop

Remember Guy's friend from the beginning? The one doing 70 transactions?

He said: "I want to own my business. I don't want to operate a brokerage."

That's the entire playbook.

Own your business. Don't operate what you shouldn't. Solve for capacity, not opportunity. Go deep, not wide. Build for decades, not quarters.

Guy's final truth:

"Business is a medium by which you get to connect with people and establish relationships with people that you never would have otherwise had an opportunity to meet."

The brokerage that takes 30-50% of your commission?

They're betting you'll never figure this out.

Prove them wrong.

WANT THE FULL STRATEGY?

Search The Future of Real Estate from a $500M Broker on YouTube or your favorite podcast app to watch the complete episode now!

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