Selling book to producer?

[NCAgent828]

Im in process of adding team members into my agency and have spoke to 2 that are from a model that would lead to agency “ownership” if you can it that. Because if this, the topic of purchasing their written book out of the agency came up.

Anyone done thus before? Words of advice/experience?

 

[smbinsurance]

Do you mean: whatever they sell while with your agency, they have the option to purchase from you upon their departure?

 

[NCAgent828]

Do you mean: whatever they sell while with your agency, they have the option to purchase from you upon their departure?

Yes that’s what I mean. During this time the book is also being built by myself and will be by a couple of others so not looking to go bankrupt. But when they buy out I can also use that money to purchase another book etc.

 

[smbinsurance]

Interesting. Haven't heard of that before. I'm following this thread now in hopes others will chime in too.

 

[NCAgent828]

Interesting. Haven't heard of that before. I'm following this thread now in hopes others will chime in too.

I hope so as well. Honestly, there seems to be a gap in this type of option. State Farm offers a slightly better than garbage option buy they take you book back and have their thumb over you the whole time. Other captives have options but nothing that is Indy. Only franchise options. Realistically the money could be made by selling just like it could for keeping the business on the books if it’s done right.