The Property Club currently has 18 franchises across Australia, and it is looking to increase this number to 40 within the next two or so years.
While no prior experience in property or sales is necessary, the franchise is ideal for people who have an interest in the property market, and who can build relationships with people.
“We help everyday Australians create a better lifestyle for their retirement by purchasing investment properties,” says national general manager Phil Hill.
HOW DOES IT WORK?
The Property Club is a membership based business, and it currently has 90,000 members.
“We have created 4,000 property millionaires out of those 90,000 members and sold 17,000 properties to our member base.”
Each franchisee is allocated a database of members who they will sell property to. “We have 30 researchers in Australia and New Zealand who source properties for our franchisees and their sales team to sell to members,” Hill says.
He adds the business values each and every one of its members and seeks to develop long term relationships with them.
“It is not just a transactional process where we sell them a property; we support our members for the entire time that they are part of the club.
“We do wealth checks with members every six months to make sure they are managing their property portfolio over time.”
MEMBERSHIP BENEFITS
He explains people can expect to reap a range of short and long term benefits from their membership with The Property Club. “The short term benefit is they can reduce their tax through deductions by purchasing investment properties.
“Long term they are building a property portfolio so they will have the equity to fund their retirement better than what their pension and super would be.”
The franchise offers members that build up a property portfolio in excess of a million dollars access to the Property Millionaires Club, which brings with it additional benefits.
“The more advanced they get in the club the more advanced the information and education they receive from both the Investors Club and Property Club,” adds Hill.
TRAINING AND SUPPORT
New franchisees will undergo an initial training program which is facilitated by the company’s general manager and/or national manager.
“The four week training program will see franchisees learn about the culture of the business, the internal database and customer relationship management tool that we have internally, and they learn how to use all the other tools we use to facilitate our members’ investment journey.
“These include a cash flow program where we analyse members cash flow when they purchase a property, a financial independence program where we strategise how a member will build their portfolio to ensure they have enough property to retire and live on the equity in that portfolio,” explains Hill.
THE YOUNG INVESTORS CLUB
The Property Club has developed the Young Investors Club, an arm of the business that focuses on equipping young people with the tools for a successful future.
“We get young people to mix with like minded investors and try to educate them about how they can acquire property by either saving or accessing their parents equity,” Hill says.
COSTS AND TERRITORIES
Franchises are territory based, and the business is looking to reach four to five franchises in each state, along with sites in New Zealand.
“The current cost of a franchise is $300,000 plus a yearly marketing fee, and this includes access to 1500 members.
“Some of those are finance assessed members, so hot leads that franchisees can turn into a sale, which they can generate income from very quickly,” explains Hill.
The initial franchise term is five years, and he says franchisees can expect a return on investment by the end of the second year.
“If the franchisee is a successful salesman it can be a very profitable business,” Hill says