Considering First Command Financial Services

[Menace]

I'm seriously considering siging up with First Command. I know about the class action of 2004 and they seemed to have cleaned up their act. I'm retired military which is a big plus and having sold a few years ago for Prudential and Allstate helps. I live in the Tampa area. Any feedback would be greatly appreciated.

Thanks!

 

[VolAgent]

I know a gentleman who did well with them, and seem quite honest and ethical. But I have also heard bad things about them.

My question to you would be, what would they do for you that another agency wouldn't? I understand they focus on the military market, but you can do that without them.

 

[Menace]

I know a gentleman who did well with them, and seem quite honest and ethical. But I have also heard bad things about them.

My question to you would be, what would they do for you that another agency wouldn't? I understand they focus on the military market, but you can do that without them.

PROS: The big difference is once you get through the first few months you can add "fee for service" consulting, market banking products from First Command Bank and get paid, do tax returns (really, just send data to home office) and get paid, etc.

Many agents who make it (over three years) make well over $100K/yr, and some over 5 years over $250K if they still work hard. Most peel back and work three days/week and still make $100k. A close friend of mine has over $30M under his advisement and gets 3 basis points/yr netting him over $100k/yr without any effort. So it seems to be a good place to offer true full service advising for someone who is willing to work hard.

They also will start you at $2K/mo the first two years with another $3K bonus after the third month just for activity, not sales, as an retention olive branch. My DA also is also offering an existing client base of over 100 families, whereas the norm is 50.

You own your own book and can sell it back to the company when you're done...a BIG plus. DA will also help with some marketing $$$ if he likes your idea. Also, they do not recommend cold calling, and have developed effective, professional, marketing methods that attract viable potential clients.

Broker/Dealer offering massive product variety with a good product mix. Underwriting varies by company but they all seem to want to do right by the agents who steer business their way.

Producers are respected and treated well by all up the executive ladder and the training is comprehensive.

That's why I'm considering them over the other offers I've received.

CONS: Stiff office fees once you come off their inital "Gateway" program and become an independent contractor, depending on location, although most locations occupy A+ real estate in desirable locations and are first rate operations.

Still a big smear from the 2004 class action on the 50% front loaded mutual fund products. Most military have a love/hate attitude about First Command. Company is moving into the civilian market with no name recognition.

Ok commissions on life products once you become independent, but not as good as if you got your own contracts as an indy.

Thoughts?

 

[MrProducer]

Just my opinion here......

If you are self-motivated, can learn independently, and are not a lazy thug who thinks he can make six figures by sitting behind a computer screen every day...... then by all means, go indy.

For the dramatic difference in commission, not to mention factoring in the extra fees this company seems to stick you with, you can afford your own marketing (such as direct mailers or local advertising). Furthermore, you can also practice other low-cost methods such as door knocking or even cold calling.

As a former member of the military (thank you for your service, by the way), you actually have an upper hand. It's safe to say that most people will trust a military vet more likely than some greasy haired, snot nosed insurance salesboy knocking on doors like he's selling girl scout cookies. (no offense to you girl scouts on this board). LOL

On the other hand, if you don't know the first thing about insurance, or sales in general, then maybe a captive position is a better fit.

 

[Menace]

Just my opinion here......

If you are self-motivated, can learn independently, and are not a lazy thug who thinks he can make six figures by sitting behind a computer screen every day...... then by all means, go indy.

For the dramatic difference in commission, not to mention factoring in the extra fees this company seems to stick you with, you can afford your own marketing (such as direct mailers or local advertising). Furthermore, you can also practice other low-cost methods such as door knocking or even cold calling.

As a former member of the military (thank you for your service, by the way), you actually have an upper hand. It's safe to say that most people will trust a military vet more likely than some greasy haired, snot nosed insurance salesboy knocking on doors like he's selling girl scout cookies. (no offense to you girl scouts on this board). LOL

On the other hand, if you don't know the first thing about insurance, or sales in general, then maybe a captive position is a better fit.

Great advice...thanks!