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I like to invest in things that have a high barriers to entry the cities for example I’ve really started to put a lot of storage units pueblo west co protocols on new development of self storage they require a lot of brick they require screen walls and some of them are multi-level they’ll.
They need a lot of glass the days of the old metal building with a lot of garage doors facing a highway or kind of past us so you know if you were to buy a good year old property that’s been there forever and is well occupied if someone were to buy some land across the street from you they’re going to have to build the Taj Mahal compared to what you have and.
They’re gonna have to charge a much higher price per unit to make any kind of return so you’re protected in that high barrier to entry versus if you were an apartment owner and you bought an apartment building there’s really no guarantee that at any point in the time someone’s going to build another apartment down the road from you.
Because there’s just a need for housing there are multiple profit centers aside from just renting units and I think the best managers really drill down on what can I do to squeeze additional revenue and you’ll seeing everything from selling locks and boxes out of their retail office to offering tenant insurance.
They will offer truck rental services they’ll offer business fulfillment they’ll offer a little post-it mail slots to offer post office but post office boxes for people anything they can think of to squeeze an extra you know fifty hundred thousand dollars a month and as.
We were talking about what that does on a cap rate if by doing little things of selling boxes raining trucks and selling insurance you can squeeze an extra thousand dollars a month in profit just by having your manager .,/p>
It could be because they did not have a clear understanding when they first came on board are it could be because there has been a change in the organization and then of course salary requirements you want to be where when you’re bringing someone on if there’s some back-and-forth with the salary requirements and.
They’re taking fairs like oh no no this will work but in your thinking I’ve got a bad feeling about this as a % pay cut it’s a hundred percent pay cut let’s talk about that you want to ask some deeper dives in the questions because you definitely don’t want to bring someone and in six months later they’re gone because they have a job that pays them what their salary is looking for when it comes to engagement.
That engagement piece and the importance of it is it lowers attrition it improves the customer retention because I’ve connected with a person just like employees don’t leave companies they leave managers customers leave because of poor customer service engagement drives the success of companies it’s ongoing and a strategic plan focused on the individuals so raise your hand if your company has a strategic plan.
When it comes to employee engagement because we all have that one three five year and strategic plan when it comes to profitability when it comes to cells but what is your strategic plan when it comes to really understanding what we’re doing and how to engage your employees I’m seeing some hands raised now just a couple so if you don’t have that strategic plan we need to make sure that.
We’re thinking about it that we’re adding it as well and then when it comes to the retention piece of things we want to know what the motivators are career pathing succession planning keep in mind that it never ends and that we always have to be vigilant we have to understand now when it comes to that we need to know.
What the individual is looking for when they’re correct career passing do they want to be a manager are they happy where they are many times companies make the mistake of oh you’re a top performer in sales so you must want to be a sales manager and then there’s struggles there you want to understand who are your key players.
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