Questions For Agency Owners!

[MikeyR]

HI Guys I am looking into opening an agency in the future, I am somebody who loves to crunch numbers and plan things down to the T.

1) Software
A) How crucial is a CRM, I would like to think I have pretty decent skills when building Spreadsheets in order to organize data and store it. Is this something that I could pull off or would I be better to pay for a CRM?

B) What's the ballpark price for a good CRM? I know it varies per the amount of users. I am planning on not hiring anybody until I hit roughly $3,000,000 in Premiums.

C)I have heard a lot about quoting software, is this the best and most efficient way to get quotes to use software? Is there a superior quoting software compared to the rest? I plan on doing primarily P & C with a focus in commercial.



2) Hiring
A) I am learning about the different roles in an agency and was wondering how you guys decide when you need to bring in another CSR (That means customer service representative correct?) Is it for every x amount of clients? How do you guys compensate them, I have been reading around on Indeed and they say CSR can receive "performance based bonuses" what metrics is used to calculate that?

B) I have seen a wide variety of compensation when it comes to sales agents anywhere from 50/50, to 90/10? To my understanding it's based on the experience of, level of, and Independence that they have, whether or not they service their own clients, if they get their own leads, and ect.

C) Do you guys/gals give bonuses and or benefits? I have noticed some people have provided vested commissions I think that would be a cool way of contributing to the retirement of my sales people.



I still have a couple more questions that seem to have escaped me at the moment

Thanks to those who take the time to read this!

 

[tikibarrister]

In your other thread, you were talking about opening an agency in 2024. That’s five years from now. Pretty long horizon to get into detailed questions like what CRM software costs and what benefits you’ll offer to future CSRs.

Five years ago, I doubt anyone could have foreseen today’s insurance landscape.

I suspect you have a spreadsheet detailing your future sales glory with projections out to your retirement at age 40. Love the enthusiasm but...

 

[shawnmwalker]

Considering we are talking Independent agent in P&C:

3m in WP prior to Hiring- no. CRM or Agecny Management system or both.- We can talk Rater - Ezlynx but could change depending on where you are. Need more input!

 

[MikeyR]

Considering we are talking Independent agent in P&C:

3m in WP prior to Hiring- no. CRM or Agecny Management system or both.- We can talk Rater - Ezlynx but could change depending on where you are. Need more input!

3M in Premiums before hiring a CSR?
I could start with without CRM, I was seeing some for as low as a $100-300/month I was thinking that for that cheap I might as well swap out my spreadsheet.

I am in California, Los Angeles to be exact!

 

[MikeyR]

In your other thread, you were talking about opening an agency in 2024. That’s five years from now. Pretty long horizon to get into detailed questions like what CRM software costs and what benefits you’ll offer to future CSRs.

Five years ago, I doubt anyone could have foreseen today’s insurance landscape.

I suspect you have a spreadsheet detailing your future sales glory with projections out to your retirement at age 40. Love the enthusiasm but...

That's true I just want to plan towards the end of the next year I am planning on trying to get a job as either an agent or CSR so that I can start to build up experience and further plan with more detail.

 

[Mike007]

Don't over plan, don't overthink. I've met many, many people like that. What happens is they don't end up doing anything because they are always planing and re-planing and they eventually plan themselves right out of business.

In the words of Nike: JUST DO IT.

A recruiter I've known for many years said this to me and it's true:

I've recruited very smart people and very dumb people. The smart ones, plan themselves right of business because they don't end up doing anything. All they do is plan. The dumb ones can never pass their test.

The best ones are the one in the middle. Just smart enough to pass the test and dumb enough to do everything I tell them to do.

 

[JeremySoper]

You can't go wrong with a CRM. Spreadsheets are great and I used them successfully at first, but after dishing out the cost for the CRM my staff was able to more effectively capture follow up sales. It paid for itself.

 

[insurlegend]

You can't go wrong with a CRM. Spreadsheets are great and I used them successfully at first, but after dishing out the cost for the CRM my staff was able to more effectively capture follow up sales. It paid for itself.

Any recommendations for CRMs to use and the costs associated with them? Thank you!

 

[JeremySoper]

Two I have used and loved are Velocify and Zoho. Depending on your size and number of accounts needed the costs can vary greatly. Take a look! If you are interested in potentially offer health insurance as a cross sell feel free to contact me. Happy Hunting!