If you are going to havens staff or overhead I think it definitely takes at least that much. However if you start with yourself and low overhead you can get away with about 20-25k.
The grass isn't always greener... Startup is difficult. If your getting a flat 9% did you already run through your graduated commissions? Or are you a producer for a captive? I've been captive and Indy and there are advantages to both. I don't believe it's wise to go Indy P&C without at least $50,000 (minimum) in investment capital. Otherwise you will be starving for a long time... Your production is pretty good, but where is the money for leads and marketing coming from? Where will it come from if you make the jump?
I'm 9% flat regardless of production. I am a producer for a captive agent. I generate my own leads via walk & talks ( literally going door to door in a niche culture ), run marketing events, flyers. My boss supplies the marketing funding... I use about $100 a month.
I'm not sure where the funding would come from once I go indy, but I think I can manage to start all over and get back to my current production in a timely manner. I've somewhat limiting my production here until I can decide what steps to take. I have a lot of leads and referral I have yet to call back on, except for ones due for renewal, I write those right away!
If you really want to make the jump, you have to sell it to the IA. If your marketing is only $100 per month and you write 35K per month, I would hire you in a heart beat (I would have to believe you first). If you cover that $100 expense(if that's all it really costs) then let the IA know that you will provide your own leads. Ask for 10% at new business and 5% of renewals. If you really can produce that much without any lead investment from the agency then a growing agency would be foolish not to hire you... but to prove you can sell, you have to sell them first.
If you really want to make the jump, you have to sell it to the IA. If your marketing is only $100 per month and you write 35K per month, I would hire you in a heart beat (I would have to believe you first). If you cover that $100 expense(if that's all it really costs) then let the IA know that you will provide your own leads. Ask for 10% at new business and 5% of renewals. If you really can produce that much without any lead investment from the agency then a growing agency would be foolish not to hire you... but to prove you can sell, you have to sell them first.
If you're located in Northern California Bay Area or have a mobile/remote plateform, we can talk. I have production reports along with reports of my weekly/monthly activity.
Yeah I really want to go Indy but its almost near impossible to find a nearby IA that would allow book ownership. I've been reading about book buy out agreements but don't really understand how it works/what to look for yet..
No, sorry... not a California dude. My point is that with the numbers that you give, I'm sure there is someone who would give you the opportunity. You just have to find them...
