What can happen when you start your own firm: Randy’s Story

Randy, a regional portfolio manager in a major market, was working long hours overseeing the operational and financial management of more than 4,000 units. He wanted more time with his family and more control over his income and schedule.

After working for more than 14 years for major management firms, Randy considered starting his own firm but thinking of all the paperwork and office space needed for his accounting kept him from pursuing his dream.

Then Randy heard about Ascent Multifamily Accounting.  He learned that Ascent does everything a traditional in-house accounting department should do. He discovered that he could start a firm without an office, working out of his home or the properties. He could have Ascent pay the bills and do the monthly reports.  It seemed easy.

He decided to give it a try.

Randy landed his first client, an owner with four Class A properties and almost 1,000 units, within a few months. He quit his management job, started his own firm and hired Ascent.

Ascent flew to the properties and enrolled the staff.  Ascent’s HR team explained the employee benefits and the time keeping system.  They coordinated the data conversion to capture the property and tenant histories.  Randy and Ascent worked together take advantage of the software systems features that his old firm wasn’t using.

While there were some glitches, things went more smoothly than Randy could have imagined.

Randy was making less than $150,000 per year at his old job.  Now, with his three percent management fee, net income from this client was more than $40,000 per month. Ascent’s fees for accounting and the payroll were less than $7,000 a month.  (See table on the right)

As a result, Randy nets more than $30,000 per month and has significant freedom for the business, as well as his family.