As I troll around cyberworld, there is quite a bit written about the challenges facing sales associates in this market...and rightly so. But I don’t see much about principal brokers, many of whom are fighting for their economic lives right now. They are the ones burdened by massive fixed costs that can’t be easily adjusted ….leases, equipment and other fixed costs. They are the ones forced to make painful staffing cuts of qualified, often long-time employees. Some of them have depleted all of their personal wealth to keep their companies going. Some who can’t pay franchise fees are being threatened with lawsuits that will only exacerbate their problems.

No matter how well brokers planned for a rainy day, the reality is that this cycle has been so lengthy and so deep in many markets that the most fiscally responsible brokers who built up the best reserves, developed the best credit lines, and began early to make cuts are now in hock personally.

I am continually inspired by the leadership, toughness and resilience of these guys…aided a bit by some humor and good wine! While an agent whose income has eroded also may face disaster in terms of losing a house or filing personal bankruptcy, multiply that exponentially for a broker who has spent a career lifetime building a brand and an infrastructure, only to have it brought down in a few short years. It’s all relative, I realize, but I think more needs to be said in support of the employers and risk-takers who drive this industry. If we think real estate is fragmented now, just think about what that landscape would look like without them

I’m a big believer in loyalty based on performance, but in this environment when many are in survival mode, loyalty gets a little fuzzy. Sometimes you have to lay off good people who perform well simply because their jobs can be absorbed by others. And yes, when some brokers flounder, it’s an opportunity for the stronger to pick up that market share. Those are the realities of our times. But when I see brokers doing the right thing by closing offices and then having agents leave because they interpret that as weakness, when that company has been a strong, supportive environment fostering that agent’s past success, it bothers me. There needs to be a little more quid pro quo.

Much has been written about leadership, and many traits go into it, but the one thing essential to leadership is optimism. The brokers I talk to – in my own network and in others – are heroes in my book in the way they focus and coach others, look for silver linings they can use to inspire their troops, and sacrifice personally in so many ways to make sure others have a livelihood. They deserve a great deal of credit. I vote for “Viva Brokers Day.”