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I am a professional consultant with a network of solid contacts in the real estate field. Currently I am in the "start up" phase of my firm and trying to figure out "FEES". I am aware of the standard Lehmans fees for investment vehicles but as I work with a number of different entities I am curious how to charge them for my consulting services. First there is the investor (cash) that invest in variety of vehicles available to him- primarily hard real estate loan money, distressed property funds etc. Second there is the owner of the property(ies) portfolio that needs to sell or have investment to salvage loss. Then there is the realtor/agent that refers me business from both sides. Can someone recommend an easier approach to keeping the compensation % fair and less confusing?

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Each industry/domain typically has its standard and customary fees. Sticking with those is the best bet. If you want to keep the deals coming then reward them a bit more so they keep working with you. I agree with John - no reason to have across the board - complex is not bad (though I certainly would not characterize your scenario as "complex"). – TimJ Nov 10 '10 at 16:04

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I suggest to call your competitors so you get a feel for the fees. Also complex isn't always a bad thing. It can help you get higher profits as long as its in your favor and people still want to do business with you despite the complex fee schedules.

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