How Our Real Estate Chart of Accounts Saved a Struggling Team

By Andy Mulholland

He has a background in leading a top real estate team for over a decade and an understanding of the critical role of clear financials, Andy, along with his wife Ellyn, a seasoned real estate CFO, co-founded Simple-Numbers.

Does it feel like your real estate team is working harder but earning less? You’re not alone. Many teams face the same struggles: relying too much on the leader’s personal sales, overspending on leads, and seeing profits disappear without understanding why. If you’re tired of spinning your wheels, it’s time to take a hard look at your numbers.

The problem: Overworked and underpaid. One team I worked with was on the verge of collapse. Their leader was overwhelmed, working long hours, and earning less than when they were a solo agent. The team depended on the leader’s personal sales just to cover expenses, leaving them drained. When we dug into the numbers, the root issues became clear:

• They were spending too much on third-party referral leads, losing most of their profit to fees.
• They lacked systems and accountability, leading to poor lead conversion.
• The pain: No strategy, no progress

This team didn’t have a real estate-specific bookkeeper. Their finances lacked structure, so they couldn’t see where the money was going. Without insights, they missed the warning signs: low gross profit, high expenses, and poor agent performance. On top of that, the team leader was so busy handling production they couldn’t focus on leading the team. It was a cycle of stress and stagnation with no end in sight.

The solution: Unlock your numbers, fix your profits. The first step was clear: take control of their finances. We implemented a real estate-specific chart of accounts and tracked key metrics like commission income, cost of sale, gross profit, and expenses. This gave us the clarity needed to take action, which is why here’s what we did next:

• Reduced unnecessary lead spending.
• Introduced accountability systems to improve lead conversion.
• Transitioned away from costly third-party referral sources.

This allowed the team to stop relying on the leader’s personal sales. Finally, they had time to lead and grow their business. The changes were transformative because profits increased, stress levels dropped, and the team moved from survival mode to a position of strength.

I’ll help you ensure your real estate business is profitable by providing strategies tailored to your team.