Thinking of Taking Over an Agency. Any Pointers?

[Guest]

I am currently selling for an agency. I am selling P&C, and Life. I also have started a farm and ranch web site. I have been selling for 6 months. I have done extremely well in the first 6 months.

The owners had a satelite office that they had to close about a year ago. The agent managing left to open a paint store. They offered this office to me. It is about 5 hrs away.

Any pointers on making this decision?

 

[Carlos Gil]

What kind of terms are they offering?

Are they still holding on to the lease? How much time does the lease have left?

Who will own the book of business?

 

[medicarebenefitsdirect]

It completely depends on the terms. What is your competition in the area? Are they making you invest money in it? Do you have time to work about 60hrs a week? I work with some guys who own their own P&C agency. They have been around 45 years and it can be very stressful.

 

[Tim Hoelle]

Lots of questions. Short answer is find a mentor who has been there and successfully done that, one you trust and lay this out for them. Too much due diligence and info needed for anyone to responsibly or accurately answer this online.

I'd just suggest you don't rush into it. Get all the info, then get some more info and be very cautious. You sound like you're in a rural or small population area, the economy still is off and managing or owning a business is difficult, even for folks with 15-20 years experience.

Your currency is your book of business. I'd do whatever gives you the best chance of building and retaining your book with the least amount of risk...

Good luck

 

[Guest]

Thank you all for your post! After much consideration, and getting shorted on commissions by this company I gracefully had to bow out and start my own agency. I found that I would be responsible for all of the cost without anymore commission. I guess some people want others to work for free!