A friend recently came to me, and wanted some advise. He was offered a contract for FE expense sales that paid only 45 per cent commission. The hook was the representation that he would receive 20-30 direct mail leads per week. He lives in an area where one can typically expect to receive only a five tenths of a per cent return from direct mailers. While he doesn't have an unlimited budget himself, he was tempted to take this position to get a regular lead flow. However, he asked for my opinion. I don't want to lead him a stray since I know he has limited resources for leads so I told him that I would post it and we would see what the range of opinions were.
What do you think about this outrageously low commission rate? Are agents out there really making a living with this type of agent contract?
What do you think about this outrageously low commission rate? Are agents out there really making a living with this type of agent contract?