Making property management a business
Quinovic has 30 franchisees throughout the country. Photo / Supplied
Founded in Wellington in 1988, and now with 30 franchisees throughout the country, Quinovic claims to be New Zealand’s largest specialist residential property management company.
“However, there are a limited number of new franchise opportunities— especially in the Upper North Island — and established franchises become available from time to time,” says Link Business Broker Tony Andrew, who describes the business model as being designed to build profitable businesses that enjoy a steady, secure income stream.
“It is highly scalable, so business growth can be managed according to the owner’s capacity,” Andrew says.
“In fact, as a business with no debtors, no major plant, equipment or maintenance costs — and having no inventory (which means no obsolescence), this is a model built for high cash flow and capital growth. It also represents the chance to take advantage of the fast-growing residential property sector, with the full backing of industry experts.”
Andrew says a Quinovic franchise, is:
- a business with a premium brand and a potential customer base;
- in a growth category;
- scalable so the owner can take holidays and avoid burn-out;
- a good cash flow generator;
- based on proven systems and processes, and;
- delivers an annuity revenue stream.
Services include finding suitable tenants for each property, managing rental collection, overseeing necessary maintenance work and carrying out regular inspections.
“The focus is people management more than anything else — both the franchisee’s own team and the clients,” Andrew explains.
“Each Quinovic franchised business will assign a certain number of properties per manager and typically — on any one day — a few will require some action. It’s a matter of combining good systems and good training with logic and common sense. If a tenant says there’s no hot water, get them to look at the cylinder. If it’s leaking, send a plumber. If it’s cold, send an electrician. It’s the same skill set used to run any business.
“Of course, people can get emotional about property so a Quinovic franchise owner strives for a calm energy. The Quinovic way sees people ‘in control’, quietly getting on with things. A lot of business comes from referrals. Many Quinovic businesses report that about one-in-six of properties signed-up come from people who were once tenants with experience of how Quinovic standards and methods are applied.
“As a rule, Quinovic seeks to manage any property which is suitable for good tenants. The application of sensible tenant selection policies can result in an average vacancy rate of less than two-days-a-year.”
Although many franchisees have been involved in the residential property market as investors, it’s not a pre-requisite, he says.
“Quinovic will provide a franchisee with required systems and 350 hours of training on both the operation of their business and its growth. Investment in a co-owned Quinovic business starts from around $50,000, and the ability to meet finance security requirements.”
Quinovic business owners come from a wide variety of backgrounds. Key skills and experience requirements are in general management, customer relationship management and staff selection and training.
The door of the first Quinovic office was opened in 1988. The mission was to achieve excellence in property management services, backed by first-rate systems and processes. In the years since then, Quinovic has developed specialised expertise in managing residential properties, for both home owners moving out of town and residential property investors.
“The professional and technologically-advanced approach has met the demand for quality property management services so Quinovic is the leading residential property management group in New Zealand,” says Andrew.
“And the doors continue to open as the sector grows.”