Every successful agent knows that when they’re on a listing appointment they must be able to justify to the seller what they’re getting for the commission they’re paying. If an agent can’t answer the question:

“What am I getting for my money?”,

they will not be chosen to represent that seller. If you as an agent, have to justify to your sellers the tens of thousands of dollars they pay you, shouldn’t the company you work for be accountable to you for the tens of thousands of dollars you pay them? After all, shouldn’t you be considered to be a client by your company? As an example, if you’re generating $10 million in sales volume and are being compensated at 3%, the gross commission paid to you and your company is $300,000. If you’re on a 70% split, you are bringing $90,000 in revenue to your company. It’s important for you to ask yourself the question:

“What am I getting for the amount that I’m paying to my company?”

If you’re not satisfied with the answer, you may want to discuss the matter with management or your broker/owner. This does not have to be an adversarial relationship. In fact it should end up being a productive conversation. It also reminds the company of the value you bring to them.

One final note, if you can’t justify the amount you’re paying to your company, it doesn’t mean you immediately jump ship. If there isn’t a better alternative, it usually makes sense to stay put.