Embarking on the challenging road of real estate investing, I’ve come to appreciate the profound impact of core values on building a thriving business. Core values are more than just fancy words printed on posters and displayed around your office. They are your guidelines for running your business and creating a culture to make it stand out. I didn’t know what core values were when I was starting out, and that cost me a lot of grief, money, and sleepless nights.
This blog post discusses why core values are essential and how to create yours!
The Journey Begins
Casting my mind back to the early days of my real estate career in 1994, the concept of core values was nowhere on my radar. Hiring decisions were primarily based on finding individuals who could simply get the job done without clearly aligning with any core values. I chuckle as I recall hiring a delivery guy for Chinese food. He asked me what I did for a living and expressed interest in real estate, so I said, “You’re hired”! He ended up working for me for several years. However, I might not have hired him if I had a solid foundation of core values. I learned many lessons on the impact of overlooking core values in my business.
The Cost of Ignoring Core Values
As my business evolved, the tangible costs of neglecting core values became apparent. From lost deals to sleepless nights, the absence of a guiding set of principles took a toll on profitability, team dynamics, and overall business stability. Incorporating core values into every facet of the business, from hiring and firing to marketing decisions and collaborations with stakeholders, became imperative for sustainable growth.
Introducing My “PATH” Core Values
In response to these realizations, I’ve introduced core values for my real estate investment business, organized under the acronym PATH:
P – Profit: Profitability is non-negotiable. Rejecting excuses for not making money on transactions sets the foundation for sound financial decisions and sustainable growth.
A – Accountable: I emphasize the importance of accountability, advocating for hiring individuals who naturally take ownership of their responsibilities. Instilling accountability is futile; it should be an inherent trait in team members.
T – Timely: Timeliness is paramount in the fast-paced real estate industry. Urgency and the ability to act swiftly are crucial, as delays can have cascading effects on deals and overall business performance.
H – Happiness: Recognizing the value of a positive and enjoyable work environment, I’ve made happiness a core value. Fostering fulfillment in roles aims to create a workplace where team members enjoy their contributions, promoting a more productive and harmonious team dynamic.
The Deeper Impact of Core Values
Beyond establishing core values, I want you to consider how businesses can maximize their impact. Emphasizing simplicity in core values, regular reviews, and drawing insights from mentors who built multimillion-dollar businesses, I recognize the transformative power of these principles in achieving sustained success.
Making Core Values Work
Practical examples highlight how core values influence decision-making within my business. From maintaining profit margins to holding team members accountable, a commitment to core values guides actions, leading to sustained success.
My journey in real estate investing has taught me the transformative power of core values. Adopting a simple yet impactful set of values can help navigate challenges, build cohesive teams, and unlock the full potential of a business. As you embark on your real estate investment journey, consider the path paved by core values—it could be the key to your success.