Evernest Property Management Show Episode 156: Churn, Profit Margins, & Exit Plans: What Every PM Owner Needs to Know | Brad Johnson
Aug 11, 2025
Brad Johnson, CEO of ProfitCoach and a leading expert in scaling property management businesses, shares invaluable insights for property managers. He discusses the tough transitions to delegation and how to avoid business bottlenecks. Johnson emphasizes the critical role of uniformity in property management agreements and suggests a strategic first hire based on individual skill sets. He also delves into essential growth strategies and how to prepare a business for sale, ensuring it appeals to potential buyers.
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Prioritize Door Growth Early
- In the zero-to-50 door phase, focus on adding doors, not profit margins.
- Use new revenue to hire an RTM and free yourself to scale.
Start With Standardized Accounting
- Use the NARPAM chart of accounts from day one to avoid messy records.
- Clean accounting shows performance and simplifies benchmarking.
400–800 Doors Is The Profit Sweet Spot
- Around 400–800 doors a company can become largely self-managing and profitable.
- That scale often supports mid-20s percent profit margins and solid CEO pay.