P&C Agent Considering Becoming a Partner, Seeking Advice.

[DTM]

Hi,

I am looking for some words of wisdom from experienced agents on how to go about becoming a partner. Here is my situation:

I am an independent insurance agent. I have been working at my current agency for 3 years. My total experience in insurance industry is 4 years. My track record with sales of P&C lines is consistent. I have a solid business plan that I am successfully implementing. I am very much involved in the local community and have built a strong network with other business owners/professionals.

My boss will be in a position to retire in 10-15 years. His family members are not involved in insurance business at all. I would like to be in a position to take over the agency when the time comes, but I feel like I have to start laying the ground work now and try to become a partner within the next few years.

Here are my questions:

How do I go about starting this conversation with my boss?

If you are an agency owner, what specific characteristics does your producer have to be considered as a business partner?

If anyone has success stories on how they or someone they know became a partner please share it.

Thank you so much in advance for your time!

 

[BIG RED IS BACK]

why a partner, buy him out when he retires

 

[b61mack]

You are thinking right, first make yourself the top saleman. If it is a small agency you have a better chance. I would start mentioning it to the owner, about you wanting a bigger role in the agency? If he blows you off, start planning to go indy.

 

[DTM]

why a partner, buy him out when he retires

Thank you for your input! I don't think there will be a shortage of buyers for the agency if it gets put on the market. If I am a partner I have a better chance to succeed in buying him out.

 

[DTM]

You are thinking right, first make yourself the top saleman. If it is a small agency you have a better chance. I would start mentioning it to the owner, about you wanting a bigger role in the agency? If he blows you off, start planning to go indy.

b61mack, thank you for your feedback! I agree.

 

[BIG RED IS BACK]

who says he wants a partner? like i said, you might have to buy him out, or, you will have to buy your way into a partnership.

Agency owners OWN their business in hopes of usually selling it at some point to retire.

Best case, make your intentions know, and let him teach you how to run a business. Owning a business is much more than just selling and writing policies.

 

[EugeneM]

Partnership will never happen unless all sides are on an equal playing field. They have equal ability to contribute and be accountable for risk. You are better off buying his book with another younger agent more on your level. That way both of you will equal closer to him. Does that make sense?

 

[DTM]

Partnership will never happen unless all sides are on an equal playing field. They have equal ability to contribute and be accountable for risk. You are better off buying his book with another younger agent more on your level. That way both of you will equal closer to him. Does that make sense?

I understand what you are saying, but there is no other younger agent where I work, we only have a CSR, then there are two sales people: myself and my boss.

Just for argument's sake I would like to know the scenario of how it will be possible to become a partner. If you could share it I would appreciate it.

 

[b61mack]

Start talking with the owner, you should know this personality my now! Praise him on the agency. Then mention, what would it take to buy into the company. Depending on his age, If you were a partner, he doesn't have to retire, he could just semi-retire.

 

[EugeneM]

The younger agent doesnt have to be from the same agency. I would start conversations with other agents/brokers to do a joint venture taking over this guys agency. Much easier with two minds and pockets