Kim B. Overbye, CEO / President OPMG
Kim B. Overbye, CEO / President OPMG, is the sole owner of Ontario Property Management Group Inc. (“OPMG”). OPMG is a real estate management company that specifically manages Co-operatives and non-profit housing corporations. Ontario Property Management Group Inc. (“OPMG”) was incorporated in August 2003 and signed their first property management agreement in December 2003, with services commencing January 1st, 2004. In six years, Overbye and OPMG have seen the growth of revenues of over $2 million with a profit margin of 2%.
Overbye has been involved in various positions within the property management industry, and has been in the social housing sector since January 1994. Before starting OPMG, Overbye was Vice-President, from 1994 to 2003, for a mid-sized Toronto property management firm that specialized in the Social Housing and Condominium markets.
Prior to entering the property management field, Overbye worked in various capacities within the Hotel industry, serving as Hotel Services Manager with Howard Johnson’s, and Director of Housekeeping with Days Inns.
I love to build companies and create an environment where people are given an opportunity to prove themselves
What inspired you to start your business?
I have been involved in the Co-operative and Non-profit housing sector since leaving the hospitality industry in 1994; the two industries are incredibly similar in terms of customer service and controlling operating costs, we continuously promote safe and affordable housing.
What was the market need?
There was a need to provide management services to social housing providers in an “all in one package”, to bring expertise in financial management, community development, good governance, maintenance standards and services.
What was the hardest part about starting out?
Our business is labour intensive, representing 78% of our costs, so the hardest part was getting and maintaining the funding for payroll and its associated costs.
Where did your business’s seed capital come from and how did you go about getting it?
Credit cards!
Photo Courtesy of OPMG
Could you tell us about your services and what makes them different?
OPMG provides complete property management and business consulting services that include: complete bookkeeping services, asset management, maintenance management, maintenance and cleaning services, working with board of directors (including minute-taking), financial management and preparation of annual operating and capital budgets.
Our business model is customer service based with a specialized focus on quality control.
We offer comprehensive, professional management for Co-operative and Non-Profit Housing Providers. Through our strong in-house support staff and a customized financial package, OPMG can implement comprehensive and unique management specifically structured to suit their individual needs.
In the same manner that every individual is unique, so are the needs of our clients and their properties.
How long did it take to build traction behind your business?
A few months. Previous to starting OPMG, I was Vice President for another property management firm working in the Social Housing sector.
How did you build your management team?
From the ground up. Four out five senior staff members started in entry level positions, some had worked for me before so they were familiar with the sector and my working philosophy.
How do you keep your staff motivated and engaged?
A difficult task but we use the following:
- Regular employee reviews and appraisals
- Birthday cards sent to each employee’s home with gift cards
- Incentive for no sick days, best-managed provider, reduced receivables, reduced vacancies
- For the senior management team and our property managers we have a annual bonus points system based on length of service, last performance review score, position in company, and number of units managed
Photo Courtesy of OPMG
How did you brand your business and market it?
A lot of networking, word of mouth, and with the assistance of U2R1 Media Inc. a Toronto and Los Angeles based boutique branding and marketing firm.
Could you give a brief description of your biggest success so far?
In 2009 we successfully negotiated a CMHC workout for a 90-unit Toronto housing provided in the amount of CD$1.8 Million for such items as mortgage arrears, property tax arrears, borrowers charges, accounts payable, garage roof rehabilitation, unit window replacement, enhanced security system, unit upgrades and common area improvements and upgrades.
We are also proud that our first client, HOPE Co-operative Homes Inc., a 60 unit townhouse project, located in Newmarket, Ontario, continues to be a client today.
Have you experienced any recent milestones?
Growing the company from 1 employee to 40, 1 client to 28, and $200,000 in revenue to $2.7 Million over a span of six years!
Read and learn all you can
Do you have plans to expand to new markets/products?
The markets we service are primarily the Greater Toronto Area but OPMG currently manages a building in Newmarket, two housing providers each in Cambridge and Peterborough.
In addition to that we have plans to expand to the residential and commercial condominium market.
What are your goals as an entrepreneur?
I love to build companies and create an environment where people are given an opportunity to prove themselves and grow, both personally as well as career wise.
What is your exit strategy?
I have no plans regarding retirement and I believe that I have built a management structure and “planned for the loss of a leader” so that the company can in the long term continue to provide my estate with steady and reliable income.
Do you have any other ventures you are working on?
Energy consulting company and property management ventures overseas.
What are the company’s goals for growth?
100% market share of this very unique market place.
What is the OPMG’s expansion funding strategy?
Self-funding: from surplus in operations.
Could you share any insights on Acquisitions and Mergers?
It is something that’s on the table; we just need a good partner to work with and the opportunity.
What three pieces of advice would you give to others who want to become entrepreneurs?
- Read and learn all you can about organizational skills and time management.
- Secure funding.
- Consider an advisory board of directors early on.
Vanessa Ly, Managing Director OPMG
What advice would you give to those seeking to build it up to the next level?
If you have not already done so consider an Advisory Board of Directors.
Why do you feel that having an Advisory Board is so important?
I feel that the Advisory Board is so important because it has forced me to focus on and deal with a wide range of issues from; the future of the company should I not be around, developing a employee manual, restructuring for growth, etc…
What advice can you share with those who are interested in build an Advisory Board?
Building an Advisory Board can be both a complex and daunting task; so where do you start. I can draw on my own personal experience in this regard. When I began the search for Advisory Board members I realized that I needed to answer two basic questions such as:
- What would the “terms of reference” be
- Define the “Blueprint”
After a lot of research and discussions with fellow entrepreneurs I determined that my Advisory Board’s “terms of reference” would consist of or answer these four items:
- For advise
- To make me accountable to a peer group that meets regularly
- Has no fiduciary duty
- “advisors agreement” and a written “terms of reference” document
I defined the “blueprint” to mean the following which is covered off in the above documents:
- Purpose of the Board
- Success Measures
- Size
- Membership
- Compensation
- Meetings
- Confidentiality
- Liability
Who did you select to be on your Advisory Board?
My inaugural Board consisted of 3 Directors, currently I have one vacant position. Since my company manages Co-operatives and Non-Profits primarily I decided that I needed an individual who had intimate knowledge of that sector first and foremost and property management secondary. Marketing and public relations was also important to me as is finance and financial management. Having made these decisions my inaugural Board consisted of the Former Director of Housing for Durham Region, the current Director of Marketing for York University and the VP of Finance for Greenway Home Products.
If you had the chance to start over again, what would you do differently?
Do a better job of controlling the finances and build an advisory board sooner.
I feel that the Advisory Board is so important because it has forced me to focus on and deal with a wide range of issues
If you were to recommend a book or movie to a young entrepreneur, what would it be?
Getting Things Done and Making It All Work by David Allen.
How has being an entrepreneur affected your life?
It has made me a better leader.
What is the best part of owning a business?
The freedom it eventually gets you.
In the same manner that every individual is unique, so are the needs of our clients and their properties.
While many entrepreneurs think that they have to go it alone when building their business, Overbye has provided insights into the importance of establishing and building an Advisory Board from the beginning. Having an Advisory Board that is comprised of directors with different skill sets, experience and knowledge can not only help build your company but it will also help to fast track it to the next level too.
As a provider of management services, Overbye’s philosophy of bringing together the right people, with the right skill sets carries over to OPMG. As a provider of management services, OPMG brings the right mix of services to clients in a comprehensive package that makes sense financially and actively grows communities in Ontario.
For more information on Ontario Property Management Group Inc., visit their website.
