Working Out of Home

[mziarnik]

I am trying to get feedback from people on the forum about starting out and using a home office in the beginning.

Looking to start a new independent agency and thinking about using 1 room in the lower level of our house for the first few months before office space is rented out.

I am wondering what the pitfalls, and advantages of this are. (understanding cost is the first thing that comes to mind)

What items were over looked may have overlooked in the beginning?

Thank you for your input.

Mark

 

[Newby]

I am trying to get feedback from people on the forum about starting out and using a home office in the beginning. Looking to start a new independent agency and thinking about using 1 room in the lower level of our house for the first few months before office space is rented out. I am wondering what the pitfalls, and advantages of this are. (understanding cost is the first thing that comes to mind) What items were over looked may have overlooked in the beginning? Thank you for your input. Mark

What kind of insurance are you selling? Most life and health agents start out from their home office and many never rent or buy office space.

If it's P&C I think the usual path is to go under an established agency and rent an office from them or take reduced commissions and get free office space.

 

[GreenSky]

Most Final Expense agents work out of their residence. They both work and live in the their mother's basement.

Rick

 

[Newby]

Most Final Expense agents work out of their residence. They both work and live in the their mother's basement. Rick

Yes! But what if mommy has a sweet walk-out basement?

 

[mziarnik]

I'd be selling P'C, personal lines along with some commercial with the thought of also selling life and either bringing on an experienced health producer or farming that out.

While my wife does work full time, I will need to be able to provide some income from sales in the first month. So by starting out of the house obviously expenses would be less than if i went out and rented space.

So just wondering what are some of the negative and positives out by starting this way.

Also if a person ever did this what things did you over look, or what items did you need from the beginning?

Thanks

 

[TwiLight]

I'd be selling P'C, personal lines along with some commercial with the thought of also selling life and either bringing on an experienced health producer or farming that out.

While my wife does work full time, I will need to be able to provide some income from sales in the first month. So by starting out of the house obviously expenses would be less than if i went out and rented space.

So just wondering what are some of the negative and positives out by starting this way.

Also if a person ever did this what things did you over look, or what items did you need from the beginning?

Thanks

On the P&C side you will find much reluctance from Carriers to appoint you directly without a retail office location..... Many use that location in defining how many appointments/agents will be allowed in a given area.

If you are starting out, than your best bet is to work under an established agency and learn from them.... You can also negotiate an ownership of the book you write with them so you can take your business with you when you decide to branch out on your own then.....

Many cluster agreements now want experienced agent for P&C as they are under pressure with their carriers to improve loss ratios... Many have lost contracts with carriers because of hiring to many newbies.

Good luck.

 

[shawnmwalker]

Twilight,

Who is losing contracts for LRs issues and Bringing on too many newbies?


If the group invests in a Training department to help Newbies transition well it is a winning scenario for all three parties. (Again, good, Better, BEST groups and the Four Deliverables: Transparency, Carrier Alignment, Training and Support, and a Contract)


Too many groups fail to make the Training and Support investment and I guess fail to transition Newbies into the world of P&C.

MZ, The House works well for a good amount of time. Unlike going Captive, on the Indy side you can control your expenses better by not being forced to et staff, a location, and finance online lead purchases. Eventually a location is a good decision. In the State of CO I would say 55% of all agents work form their home, but the group model is very strong here.

 

[TwiLight]

Twilight,

Who is losing contracts for LRs issues and Bringing on too many newbies?


If the group invests in a Training department to help Newbies transition well it is a winning scenario for all three parties. (Again, good, Better, BEST groups and the Four Deliverables: Transparency, Carrier Alignment, Training and Support, and a Contract)


Too many groups fail to make the Training and Support investment and I guess fail to transition Newbies into the world of P&C.

MZ, The House works well for a good amount of time. Unlike going Captive, on the Indy side you can control your expenses better by not being forced to et staff, a location, and finance online lead purchases. Eventually a location is a good decision. In the State of CO I would say 55% of all agents work form their home, but the group model is very strong here.

Insurezone comes to mind, they lost the Hartford Contract. Hartford has been evaluating Clusters and started pulling contracts from the ones with the most issues...

FYI, They have no training... That is why they only will bring on established agents now... Got to big too fast with all their partnerships..

 

[mziarnik]

For those who sell p&c working strictly out of their home or have a fully functional home office in addition to their regular office what do you all need (other than:computer, phone, printer, fax/scanning, desk, file cabinet, and supplies) or is that sufficient)

Yes leads, and sales are also needed. .

Again just looking for feedback.

Thanks in advance