O.K. I know theres been some threads about starting a new agency but there hasn't been anything specific with a step by step on how to do it. So if someone can give us a detailed list of what to do that would be great.
For example after finding a location and coming up with a name what do we do next?
Step By Step To Starting New Agency
Moderators: Josh, independent guy
Ok folks I have opened several agencies, here's a very short list:
check with Sec of State to reserve name
create LLC or S-Corp
set aside minimum of $20,000 for startup costs
apply for agency license from Dept of Ins
create business plan
make appts with carrier reps and present plan asking for contract
find office space
hire ONE assistant (csr type)
find printer for stationary, cards, etc
contact DORIS, INSTAR or one of lesser expensive full function agency management vendors
contact Ajasent, Bluetooth or other ASPs to get pricing on offsite hosting instead of using in-house server
find internet provider and phone all-in-one service
get personal lines direct mail list and create marketing campaign along with cheap newspaper advertising
start going door to door in business areas to get X-Dates
start writing business
check with Sec of State to reserve name
create LLC or S-Corp
set aside minimum of $20,000 for startup costs
apply for agency license from Dept of Ins
create business plan
make appts with carrier reps and present plan asking for contract
find office space
hire ONE assistant (csr type)
find printer for stationary, cards, etc
contact DORIS, INSTAR or one of lesser expensive full function agency management vendors
contact Ajasent, Bluetooth or other ASPs to get pricing on offsite hosting instead of using in-house server
find internet provider and phone all-in-one service
get personal lines direct mail list and create marketing campaign along with cheap newspaper advertising
start going door to door in business areas to get X-Dates
start writing business
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sellingins101
- Insurance Journal Fan
- Posts: 1
- Joined: Wed Oct 20, 2004 8:16 pm
guys, why not check into something like the Brooke Corporation ( http://www.brookecorp.com ) for startups. On the front-end, they have a HEFTY franchise fee, but you should get a lot of that back through the 50% marketing expense co-ops.
On the back-end (when you actually sell policies), they take a cut in monthly franchise fees too. It sounds like a lot, but the commission rate that you get is usually a lot higher than what you would get from a MGA with the same market. If you do the math, you'll see it's one of the best deals out there for people wanting to startup a new agency. Good luck.
On the back-end (when you actually sell policies), they take a cut in monthly franchise fees too. It sounds like a lot, but the commission rate that you get is usually a lot higher than what you would get from a MGA with the same market. If you do the math, you'll see it's one of the best deals out there for people wanting to startup a new agency. Good luck.
Before you go spending a lot of money and getting into bed with a franchisor, check out aggregators who have the SAME if not better commissions deals from the carriers.
http://www.agentsecure.com gives you access to market AND you own 100% of the business. When you write enough business to warrant your own carrier contract they will help you close the deal.
Take a look at the program and let me know what you think is the downside...I dont see one.
http://www.agentsecure.com gives you access to market AND you own 100% of the business. When you write enough business to warrant your own carrier contract they will help you close the deal.
Take a look at the program and let me know what you think is the downside...I dont see one.