From Insurance Agent … to Agency Owner

If you’re like many successful insurance agents, you’ve worked hard to build your customer base and enjoy a comfortable living. And you may have entertained the idea of opening your own agency on more than one occasion. What’s stopping you is the fact that you’re just not sure how to get started.

As with any new business, the first step is getting the capital you need. That’s estimated to be between $5,000 and $50,000 at the very least. Your initial expenses will include rent, office equipment, licensing, legal costs, and insurance.

From Insurance Agent … to Agency Owner

If you’re like many successful insurance agents, you’ve worked hard to build your customer base and enjoy a comfortable living. And you may have entertained the idea of opening your own agency on more than one occasion. What’s stopping you is the fact that you’re just not sure how to get started.

As with any new business, the first step is getting the capital you need. That’s estimated to be between $5,000 and $50,000 at the very least. Your initial expenses will include rent, office equipment, licensing, legal costs, and insurance.

The next step may be the most challenging … that is, gaining access to insurance carriers to sell products. Carriers will want to see a business plan, previous loss ratios, and your existing book of business. They may require a commitment to a particular premium volume.

There is another way to get started.

Some agents find the quickest path to ownership in the most unlikely place … the insurance agencies where they work. If you like the idea of being in business for yourself, but want to minimize your risk, look for an insurance agency that will help you get started. A good way to choose that company is to consider answers to questions like these:

  • Does the company offer opportunities for leadership?
    A company interested in the growth of employees invests in their success by offering extensive training. That’s not just to introduce new products, but to offer opportunities for personal growth and development.
  • How fast is their vesting process?
    The time it takes to be fully vested varies from one company to the next. It’s important to find an agency whose vesting schedule coincides with your own timeline for business ownership.
  • Do they work with multiple products and carriers?
    If you’re looking for growth potential and a solid base from which to build your business, consider an insurance agency that offer a wide range of products from multiple carriers.
  • How many affiliated agents and locations does the company have?
    Having a large number of agents and multiple locations is indicative of a company’s commitment to growth. A smaller number of agents and locations may represent a lack of commitment.

Working for yourself is an exciting proposition that, with the right company, can be achieved in a fairly short period of time. Take a minute now to learn what one industry executive has to say about the potential for ownership within his organization.

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Interested in owning your own business with the support of American Senior Benefits? Apply today and we will contact you with more information.

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2019-08-23T13:42:53+00:00