RDC 2005 Mentor Program Third Party Connections: What Are “Backroom Services” and Who Is Offering What? Overview In order to fully control corporate accounts, some relocation relocation departments have chosen to function as full-service relocation management (third-party) companies. Few of them, however, wish to invest the staff and resources to handle all functions in-house, particularly the closing services for home sale/BVO/AV transactions. Instead, they are outsourcing/sub-contracting those activities to a “back office” company. They pay a flat fee for such services and incorporate that cost into what they charge the client (or recover via referral fees.) The relocation department thus fills the role of front-office service provider, handling all client relations, transferee consulting, billing, etc., and the back-office company works in the background, with everything structured to be as seamless as possible for the corporate client. Typical Services Breakdown Real Estate Company “Back-Office” Company Consulting/policy review/proposalsClosing services/equity statements Accepting initiation Expense tracking Counseling transferee Household goods move management* Assigning to agents/othersCost of living reports* Overseeing process, quality controlTemporary housing coordination* Client relations Billing oversight (with BOC’s input)*Sometimes coordinated by real estate firm Back-Office Partner Options AECC (American Escrow & Closing Company) 1699 Wall Street, Suite 602 Mount Prospect, IL Craig Anderson, President

RDC 2005 Mentor Program Back-Office Partner Options (continued) RELO Direct ®, Inc. (RDI), 7909 Parklane Road, Suite 475 Columbia, SC Kent Rindfleisch, Director of Broker Resources Morreale Real Estate Services 455 Taft Avenue Glen Ellyn, IL Laura Meier, Executive VP Various title companies for title and equity/closing statements (Old Republic, Fidelity)* Ineo Relocation Technologies (Move-Track expense tracking software)* 1801Broadway, Suite 1010 Denver, CO *For real estate firms who wish to manage closing services/expense tracking in-house and use the above partners/tools.

RDC 2005 Mentor Program Challenges Confusion for transferees: Need to communicate that you have a “closing partner”, the process involved, and that some paperwork will have that company’s name. Who owns the client and who has liability if there are problems: The real estate company is the manager of the relationship and the process, and the back office company will usually require an indemnification, so it’s important to understand the liability involved. Communication: It’s very important to communicate to the listing agent and the transferee who does what, who the “closing entity” is, and to ensure that all parties are in the loop when contract is signed, when there are exceptions, etc. Do your homework: Make sure you are working with an experienced back office company that knows the relocation industry and remains abreast of new trends and issues, such as the two-deed process, to reduce your exposure by having the right expertise in these important behind-the-scenes areas. Recommendations Network with other relocation directors who are operating this way and learn about their processes, whom they recommend for back office, what pitfalls they encountered so that you can avoid these, etc. Meet with the people you would be working with at the back office firms you are considering and carefully review the processes, who does what, pricing, and other factors, and talk to their broker references.