Opening my Own Agency

[expagentma]

Hello All -
I am an experienced P&C agent in MA. I have been in the field for 5.5 years, working for an independent agency. Just got licensed in L&H as well.
I am looking for any information on how to, what to look out for etc when opening your own shop. I am very excited about the idea and a hard worker.
My current agency owner is not offering any incentives, and does not need a true producer. I have been producing paid hourly plus a tiny commission in the first policy year and that is it. I let my boss know I am looking for more, I do not mind visiting clients etc but he is just comfortable where he is I think and just not that into the idea. I am very driven, like what I do and like working with people so it is a no brainer I should look into other possibilities like opening my own small agency.
So please feel free to comment your experience, ideas!

Thank you!
Experienced Agent in MA

 

[indienoise]

So many variables here.
Do you have a non-compete at your current agency?
How much do you produce in a year's time?
How much of what you produce do you TRULY get on your own, and how much are you producing because the business is coming to the agency, whether it be walk-ins, referrals, or leads generated/purchased by your employer?
How much money do you have put back? Will you be working from home or have an office? How are you planning to get appointments?

 

[expagentma]

Thanks for the response!
At my current agency I have been treated as an employee who wrote new business. The leads came from the owners marketing mainly and just random calls from his website etc. He does not have to 'bust his ass' for the leads.
I asked him for a producer position and he is not into the idea wanting one. He, as I am sure most owners is trying to keep most money to himself so he uses licensed producers to write the business, give some small amount first year and then nothing else.
I plan to have a small office space, possibly sharing with a real estate broker friend of mine.
Getting the appointments is what I am trying to figure out now, and learn more about the process. Any insight anyone can offer for that?
Thanks!

So many variables here.
Do you have a non-compete at your current agency?
How much do you produce in a year's time?
How much of what you produce do you TRULY get on your own, and how much are you producing because the business is coming to the agency, whether it be walk-ins, referrals, or leads generated/purchased by your employer?
How much money do you have put back? Will you be working from home or have an office? How are you planning to get appointments?

 

[cgreene]

Cluster might be a good idea with your lack of generating leads and experience.

 

[indienoise]

Ultimately, if he doesn't have experience generating business, it's a risky proposition. Maybe he'll do well, maybe he won't. Problem is, even if he's experienced at his particular job, it doesn't indicate how he will do as a sole producer. It's not just as simple as trying to copy his previous boss, not having to hunt down business is something that come with time. I get some client referrals, but not nearly that many.

 

[cgreene]

I generate 30-50 leads a week and I struggle to produce some weeks.

 

[expagentma]

What do you do to generate leads? Paper ads, chamber of commerce events, word of mouth through friends and acquaintances, cold calls.. Any other venue to get more leads?

Thanks.

I generate 30-50 leads a week and I struggle to produce some weeks.

 

[cgreene]

None of that really. I do belong to 9 chambers but those aren't lead generating. I visit 10 dealerships a week, speak at one realtor meeting a week, do two realtor networking events a week and do one onsite school visit a week. I also try to speak at one small business owner meeting a week and do one life insurance education seminar a mint. I then spend one afternoon visiting 5 mortgage companies. I have a goal of quoting three new households a day which is 6-9 quotes.