Biggest Mistakes

[gordon112]

I suppose if an agent were disciplined enough they could take any money they were paid over say $700 a week and put it into a savings account during the first six months to cushion the blow of chargeback hell....but when you have to buy leads it really compounds the problem...no easy answer to the dilemma. Sometimes it seems like.. commission = lead cost & gas

You really have to manage your money much like a portfolio manager at a major bank or investment firm. Keep 50% what you make if you can until you make it through the first year. Grind the leads out as much as you can and do some cold DK's and cold calls to mix in.

Also, use your head and common sense, your wallet will follow.

 

[houcoogster]

You really have to manage your money much like a portfolio manager at a major bank or investment firm. Keep 50% what you make if you can until you make it through the first year. Grind the leads out as much as you can and do some cold DK's and cold calls to mix in.

Also, use your head and common sense, your wallet will follow.

Rock solid advice Gordon Geko!

One would think an agency or company would devise a plan to drastically reduce turnover in this this business with some type of financial arrangement like.....

1.)New agents need more leads than exp agents
2.)New agents need a lower lead cost than exp agents
3.)As the new agent builds renewals the lead cost is stair-stepped up
4.)As the new agents closing ratio goes up the fewer leads he will need to buy

I'm thinking this could be funded through a portion of the second and 3rd year renewals.
Any opinions or ideas welcome.

 

[TDFnCali]

I'm a slow learner. Readen said it takes 6 months. It took me way longer than that. But 6 months is where most agents hit "chargeback hell". If you power through that and come out the other side then you will probably make it in this field. It's not all smooth sailing from there but the waters are much calmer.

I concur with that...I sold policies right out the gate, but the learning curve has been a lot longer then 6mos for me to feel comfortable. Im still learning a lot & its been over a yr.

But I never (knock on wood) went thru "chargeback" hell...and I hope I never do!

 

[Norwayguy]

Rock solid advice Gordon Geko!

One would think an agency or company would devise a plan to drastically reduce turnover in this this business with some type of financial arrangement like.....

1.)New agents need more leads than exp agents
2.)New agents need a lower lead cost than exp agents
3.)As the new agent builds renewals the lead cost is stair-stepped up
4.)As the new agents closing ratio goes up the fewer leads he will need to buy

I'm thinking this could be funded through a portion of the second and 3rd year renewals.
Any opinions or ideas welcome.

Never happen....The squeaky wheel gets the oil and the guy with the juice will get the bennies and the person with the juice is the guy producing the most and really it should be that way...How would you like to be the guy putting up the big numbers to find out more fresh leads for a lower cost are going to Joe Newby who can't sell his way out of a wet paper bag.

 

[deadhead]

FE is a never-ending grind. So see the people from sunrise to sunset.

And peaks and troughs are normal in the business. Focus on activity first (total presentations done weekly) versus AP weekly total.

Commissions come with consistent numbers of presentations.

Also, the learning curve for this business is about 6 months. The finer points can take longer as you develop.

 

[deadhead]

What the hell was that?

Rearden mentioned Sunrise Sunset

 

[WinoBlues]

Rock solid advice Gordon Geko!

One would think an agency or company would devise a plan to drastically reduce turnover in this this business with some type of financial arrangement like.....

1.)New agents need more leads than exp agents
2.)New agents need a lower lead cost than exp agents
3.)As the new agent builds renewals the lead cost is stair-stepped up
4.)As the new agents closing ratio goes up the fewer leads he will need to buy

I'm thinking this could be funded through a portion of the second and 3rd year renewals.
Any opinions or ideas welcome.

Let's say JD and Mah both are EFES agents. How do you think JD is going to feel about this Welfare plan. Mah may like it. The person taking always likes it more than the guys forced to give. JD?

 

[deadhead]

Let's say JD and Mah both are EFES agents. How do you think JD is going to feel about this Welfare plan. Mah may like it. The person taking always likes it more than the guys forced to give. JD?

But Mah is a superstar and JD is well...JD

 

[houcoogster]

Let's say JD and Mah both are EFES agents. How do you think JD is going to feel about this Welfare plan. Mah may like it. The person taking always likes it more than the guys forced to give. JD?

Ok...lol .. I should have said a "Highly Qualified" candidate. I'm not saying to take anything away from JD. And for that matter the JDs' of the world can opt out and go for it straight up whenever they want. I just think a "financial arrangement" (NO Free Lunch) would be good for both parties. Think of it as a buffer...instead of a crash landing on each phase of getting started. When people go into business for themselves and borrow money they include in that loan their salary for the first few years or so.

 

[smokin goose]

I concur with that...I sold policies right out the gate, but the learning curve has been a lot longer then 6mos for me to feel comfortable. Im still earning a lot & its been over a yr.

But I never (knock on wood) went thru "chargeback" hell...and I hope I never do!

Sounds like you're pretty conservative as am I. Eight months in and haven't had many chargebacks. My average AP per employee isn't as much as others on my team, but mine are staying on the books pretty good. Knock on wood.