Turning uncertainty into opportunity: How a director’s loss drove success 

Speaking to REB managing editor Liam Garman, Nitschke said he was made the sole director of the Mount Barker agency in 2018 following his father’s cancer battle, and soon realised the business was in debt.

“We had just six weeks of cash left, millions of dollars in debt, and a team suddenly looking at me for answers that I didn’t have,” he said.

Nitschke soon realised that if he wanted to save the family business, he would need to hustle harder and draw on coaching and resources to ensure he had the proper processes in place, leaving his ego at the door.

“When I was thrust into it, it really represented one of the very last things that were left from my family. So I felt an enormous obligation to try and make something of it.”

“If we fast forward from 2018 to the present day, the business is now an independent agency, profitable, growing steadily. Great, team, great impact in our community.”

Seeking assistance

After taking on the new role, Nitschke quickly realised the value of seeking assistance and coaching as he tried to keep the business afloat financially.

Under pressure from those urging him to sell the office’s assets and start over, Nitschke said he was driven by the goal of succeeding and committed to taking the necessary steps.

“There was a part of me in that moment that just thought, if there’s a way that we could figure this out, if I could come up with a way to map a path forward and get through it, what an incredible story.”

Finding a new drive, Nitschke said he consulted the business’s finance manager to gain an understanding of profits and losses, and other essential information.

“What’s a balance sheet? How do we do payroll? All of those basics. And then I just looked at all the problems that were in front of me, and I was careful not to trigger all of them at once.”

Additionally, Nitschke realised he needed to refine his own qualities to be a successful principal, and conducted an audit of his strengths and weaknesses, while seeking coaching and mentorship.

“I knew how to sell real estate and, as a result, could generate revenue. But I knew that whilst I felt I had a natural instinct to lead, I definitely needed some coaching in that space.”

“I reached out to my coach at that point, just to help me with some strategies and things, things that I could implement to bring the team together.”

Refining processes

After refining his skills and working hard to stabilise the agency, Nitschke found that to achieve greater outcomes, he had to shift his priorities from his own sales to the entire office.

“One of the best things you can do is really pinpoint, what is the operating system that you want to run your business with?”

While he initially tried to make as many sales as possible, he quickly burned out and couldn’t fully support his agents or handle other aspects of the business.

“I just didn’t have another gear to get to. And I thought, I can’t just keep selling as much as I was and expect us to hit the potential of the business.”

Nitschke said the solution was to free up time to work on his business and focus on building up other agents so they could achieve better outcomes.

“It’s a funny dynamic – when you’ve been a leading salesperson for so long, and you’re so used to building your database, and now you’re actively trying to do less and less each month.”

“We’ve just had our best sales year ever. And I’ve sold 25 per cent less properties that year to achieve that outcome.”

Leaving ego at the door

In addition to adjusting systems to ensure an agency’s success, Nitschke said one of the best lessons he learnt was the importance of leaving his ego behind.

For example, he had to put his pride aside when he found the business’s second office was not financially viable, and had to transfer the lease to one of his industry rivals.

“We’re very competitive in real estate [but] I actually had to assign the lease, and the best tenant for this second office was actually one of my biggest competitors.”

While the deal hurt his ego, Nitschke recognised that he had made the right decision for the financial success of the business.

“A mantra we’ve adopted at Nitschke that works really well for us is ‘better before bigger’ – just understanding growth comes from an outcome of being better at everything we do day to day.”

“It’s not just chasing growth for growth’s sake. [It’s about] managing the ego that really plagues our industry and making sure that you’re making the right decision in that moment,” he concluded.