How the Schmid family saves the succession
It was supposed to end in 2025. Uwe Schmid would then dissolve his property management company in Singen near Lake Constance.
Schmid, 64, a graduate in public administration with a broad smile, is now of retirement age. He founded the company almost 30 years ago, built up a loyal customer base and, together with his wife Beate, put a lot of work and sweat into the business. In two years, however, it was supposed to come to an end. At least that was the plan.
Then the coronavirus brought the world to a standstill - and the younger son Moritz lost his internship. He started working in his parents' business, where he quickly found his feet. A short time later, his older son Patrick followed. Working together worked extremely well and the original plan was abandoned: The children are now gradually taking over their parents' property management business.
To do this, however, the property management business needs to grow. The company has set itself a target of 3500 units, which means it is well equipped for the future, says Schmid. After all, it is not only the founding couple and their sons who make a living from property management, but also a number of employees. Daughter Mareike also works part-time.
And so the number of units has more than doubled in the past three years, to 3,200. "This year we have taken over several hundred units. That would not have been possible with the old accounting program. I wouldn't have had the staff to manage the accounting," says Schmid. But with the software from Munich start-up Impower, it was no problem.
This would not have been possible with the old accounting program.
Despite the growth, Schmid wants to remain true to his principles. His property management company is known for its reliability and expertise. "We maintain a personal and friendly relationship with the owners," he says. And he wants to keep it that way.
The property management company also hired a new employee at the beginning of the year. She immediately got to grips with the new program. "I don't need to be a great accountant, I just need to have a bit of understanding - and then it's fine," says the property manager. Weeks of training are now a thing of the past.
This saves a huge amount of time when incorporating new properties or organizing owners' meetings, and the family business uses it for further growth. Schmid would not have been able to convince his children to join the company anyway if he had continued with the old ERP system. He is certain of that.
Without Impower, my daughter Mareike would certainly not have come on board. Now she even does the bookkeeping.
"Without Impower, my daughter Mareike would certainly not have come on board. Now she even does the bookkeeping. And my son Moritz also said: if we don't invest in this, we'll soon be out of business." If you want to offer children work in your own business, you have to make sure that things "move forward", he says. The younger generation has also grown up with electronics, so a modern system is needed, says Schmid. It has to be digital, reliable and future-proof.
The experienced property manager knows many tradespeople of the same age with whom he has worked for decades. "They have no successors, they have to give up their company with a heavy heart." But his children are now securing his professional life's work. "It's nice to have the family around you. They say it's not good for you. But I can say the opposite: we harmonize perfectly," he says. A brief, moist gleam flits across his eyes. "It's a great feeling," says the family man. "It makes you emotional."
