Commission Rates & Guidance For A Newb

[jdeasy]

Hello all. My first post on this forum and looking forward to many more! I appreciate any insight you are able to provide me on my specific issue noted below.

I have almost 2 decades of management experience on the operations side of the fence with insurance, annuities, & brokerage accounts. I am looking to step over into the sales side and I think that final expense is the best starting point.

My biggest question for all of you and most important to me is what commission rates are fair for an independent newb with no selling experience? I am an extremely hard worker and plan on sweating profusely to make this work and invest in the necessary marketing. Any guidance / advice you can provide is most helpful.

Secondly, I have a friend in the business that is willing to show me the ropes and be under him at a rate of 80% commissions. Is this a fair deal? What questions should I be asking? What contract points should I be ironing out? I trust my friend very much. I just want to ensure that I am being smart and that I know what the norm is. If I am not under him, what other training solutions exist in the market and how long does it take for a newb to get up-to-speed?

80% seems kinda low if you are provinding your own leads. But, good training is not cheap. If it's good training then it will be money well spent down the road. Do not assign commissions for any amount of training.

I started in this business at 65% but that also included leads. You seem to have more insurance knowledge than I did when I started so you should be worth more to your upline.

What is he going to do for you trainingwise? Take you on ride alongs? Let you listen as he sets appointments? Give you a training manual?

Will the training be hands on or classroom type stuff? Telling you to do or showing you what to do?

How good is he at FE? How much personal production is he doing or has he done?

You might be getting a bargain for that 30% of commission or you might be overpaying.

 

[charlesj]

He is also just starting out with FE but is very successful in other lines. We discussed yesterday and actually we have determined to change our approach altogether. I wanted to share with everyone here as I appreciate the insight and so that you know where my focus is going to be for the time being. My background is strong in life insurance and annuities and we decided that it would be better for me to focus on what I know best which is annuities. You will see me in that forum and I hope that some of you are over there as well. I will be starting out with the (insert woman shrieking noise here ->) dreaded cold calling today. I will be checking that forum out right now so if anyone has any tips there, please share! Thank you again for your considerate responses and I hope to converse more with all of you in the future!

 

[moonlightandmargaritas]

I will be starting out with the (insert woman shrieking noise here ->) dreaded cold calling today. I will be checking that forum out right now so if anyone has any tips there, please share!

Cold call for annuities? Really? Wow.

 

[jdeasy]

Cold call for annuities? Really? Wow.

That was my exact thought, wow!! I just can't even imagine that as a business plan.

 

[Josh]

Cold call for annuities? Really? Wow.

I'm as big of a fan of cold calling as just about anyone, but that's not a product I would cold call for.

 

[moonlightandmargaritas]

I'm as big of a fan of cold calling as just about anyone, but that's not a product I would cold call for.

Demand products, i.e., Med Supp, auto/home, health it can be effective.

"Wealth" type products like annuities...not so much. I hope his "mentor" didn't suggest it!

 

[rousemark]

That was my exact thought, wow!! I just can't even imagine that as a business plan.

Why not? EDJ reps cold call not only on the phone but go out and knock doors for investment and annuity business.

 

[charlesj]

It was my suggestion only because I am young and naive...

Wait, let me reframe that, I am full of energy and enthusiasm and willing to do whatever it takes!!!


Thank you all for your guidance. I just love you guys and don't worry, I'm not talking brokeback mountain, just a sincere brotherly type love. LOL!


My plan for this post didn't start out with any intention of using all these smilie face thingies but I guess I'll just go with it at this point...


The plan now is to pay for qualified leads and do personalized letters with follow-up phone calls to target the annuity market. I am sure there is a wealth of knowledge on this forum in the right place and I will be digging but if any of you would be so kind as to further share your insights or point me in the right direction around the quicksand and not off the cliff, I would appreciate it! Let's see, what smilie thingie can I finish this with?

 

[VolAgent]

Never be afraid to buck conventional wisdom. Just don't be upset when it bucks you.

 

[Josh]

It was my suggestion only because I am young and naive...

Wait, let me reframe that, I am full of energy and enthusiasm and willing to do whatever it takes!!!


Thank you all for your guidance. I just love you guys and don't worry, I'm not talking brokeback mountain, just a sincere brotherly type love. LOL!


My plan for this post didn't start out with any intention of using all these smilie face thingies but I guess I'll just go with it at this point...


The plan now is to pay for qualified leads and do personalized letters with follow-up phone calls to target the annuity market. I am sure there is a wealth of knowledge on this forum in the right place and I will be digging but if any of you would be so kind as to further share your insights or point me in the right direction around the quicksand and not off the cliff, I would appreciate it! Let's see, what smilie thingie can I finish this with?

Where do you plan on getting qualified leads?