Imo/fmo lead requirement..Worth it?

[Txmade99]

I have been looking into a few Imo/fmos's here on this forum and looking into their websites. I got a chance to talk to a couple of them. They are a great guys, very informative and took time out to answer my questions and their companies sound like a great place to start.

However, the ones I really liked require a mandatory fee of $750 weekly at minimum for leads in order for you to join which must be paid each week. They all claim for the amount of leads you would be given, you should be able to hit a target goal of one sale per day or 5 a week. Most of them want to start you off on final expense first or on Mapd first.

My question is...is it worth it to invest money into their lead program or should you be investing that money into growing your own business locally with your own lead sources?

If anyone has paid this amount to an imo/fmo weekly, did you hit the target goal of one per day or 5 per week off of 25-40 leads given for that week or did it take a while to reach that goal? I know everyone will be different.

I suppose for some it takes the time, energy and headache away from finding/building your own lead source, especially when starting out on your own. However, is that good in the long run? It is kind of like you become dependent on their business. They also need you full time and one of the imo/fmo actually picks your hours, so it doesn't sound so "Independent" if you ask me. But I understand these type of programs is made this way to keep production and money coming.

So my question is does it really matter at the end of the day who the leads come from, as long as your getting your clientele? Is it wise or logical to spend this weekly starting out? Is it a good investment? Or should you invest this into your own business as far as your own lead source?

I was attracted to these imo/fmo's at first because I believe they will provide great training and support, although I don't need much hand holding except for simple questions on what carriers work best for this situation or this scenario for Life insurance and I have sold mapd for United Health but not med supp and would like a little bit more training on the mapd side but don't need much hand holding...point me in the right direction and I will research myself.

Also, I know their are imo/fmos that don't require a fee for their leads, but they didn't seem to have much time set up for training or support.

I will need leads and a little bit of support in the beginning. A mentorer would be great. Know searching for and imo/fmo, I guess you just have to pick your battles. Just want to know if these type of fmo/imo's are a good idea and get your opinion. Thanks.

 

[jdeasy]

Seems you are talking to the wrong IMO's.

But to answer your question, no, do not come in green and commit to spending $750/week with anyone.

And do not buy leads from the IMO. And maybe you are not talking that and just misunderstood?

The FE IMO you go with should have multiple lead options. But you pay the lead vendor, not the IMO. Except in the case of an IMO that has RGI as an option. The IMO has to administer that program because RGI will not deal directly with agents.

But you should not start out new with a continuing lead order from RGI.

An IMO that invested in your success vs an IMO that's going make money on you by selling you recycled leads and their "training" is a night and day choice. Avoid any IMO that wants you to pay them to join.

 

[Txmade99]

Thank you for your input. These companies come highly recommended on these forums and although I'm pretty sure they are legit programs, I am nervous about committing to that a week. So I was wondering if it would be a good investment. I did find another that comes recommended thru here that said they would provide 20 leads a week to door knock as long as I make 2 sales but I take a 70% commission. So, just trying to figure out the best route.

 

[Newby]

I have been looking into a few Imo/fmos's here on this forum and looking into their websites. I got a chance to talk to a couple of them. They are a great guys, very informative and took time out to answer my questions and their companies sound like a great place to start.

However, the ones I really liked require a mandatory fee of $750 weekly at minimum for leads in order for you to join which must be paid each week. They all claim for the amount of leads you would be given, you should be able to hit a target goal of one sale per day or 5 a week. Most of them want to start you off on final expense first or on Mapd first.

My question is...is it worth it to invest money into their lead program or should you be investing that money into growing your own business locally with your own lead sources?

If anyone has paid this amount to an imo/fmo weekly, did you hit the target goal of one per day or 5 per week off of 25-40 leads given for that week or did it take a while to reach that goal? I know everyone will be different.

I suppose for some it takes the time, energy and headache away from finding/building your own lead source, especially when starting out on your own. However, is that good in the long run? It is kind of like you become dependent on their business. They also need you full time and one of the imo/fmo actually picks your hours, so it doesn't sound so "Independent" if you ask me. But I understand these type of programs is made this way to keep production and money coming.

So my question is does it really matter at the end of the day who the leads come from, as long as your getting your clientele? Is it wise or logical to spend this weekly starting out? Is it a good investment? Or should you invest this into your own business as far as your own lead source?

I was attracted to these imo/fmo's at first because I believe they will provide great training and support, although I don't need much hand holding except for simple questions on what carriers work best for this situation or this scenario for Life insurance and I have sold mapd for United Health but not med supp and would like a little bit more training on the mapd side but don't need much hand holding...point me in the right direction and I will research myself.

Also, I know their are imo/fmos that don't require a fee for their leads, but they didn't seem to have much time set up for training or support.

I will need leads and a little bit of support in the beginning. A mentorer would be great. Know searching for and imo/fmo, I guess you just have to pick your battles. Just want to know if these type of fmo/imo's are a good idea and get your opinion. Thanks.

Any agency that requires you to buy leads through them is questionable.
Nearly ALL of our agents buy their leads through us (FexContracting) but none of them are required to. They can buy or generate their leads any way that is legal.

 

[Newby]

Thank you for your input. These companies come highly recommended on these forums and although I'm pretty sure they are legit programs, I am nervous about committing to that a week. So I was wondering if it would be a good investment. I did find another that comes recommended thru here that said they would provide 20 leads a week to door knock as long as I make 2 sales but I take a 70% commission. So, just trying to figure out the best route.

Not all leads are equal. Don’t give up commission level to be trapped with sub par leads. Make sure if you are giving up 50 points on your commission (70% is 50 points down from 120% and is equal to $2,000 per week in commissions if you are averaging $4,000 per week in sales) they should be supplying you with brand new exclusive direct mail leads (which you could buy yourself for $750 or less.)
If they are giving you Web generated leads (brand new) you are giving up $2,000 in commissions for leads you can buy for $$225 brand new). If they are previously worked direct mail you are giving up $2,000 for $20 to $80 worth of leads.
My point is, if you are giving up your money to get free leads, make sure you know what kind of leads they are committing to. Most likely, you are paying top dollar for leads that cost next to nothing. Not a smart move.

 

[jdeasy]

Thank you for your input. These companies come highly recommended on these forums and although I'm pretty sure they are legit programs, I am nervous about committing to that a week. So I was wondering if it would be a good investment. I did find another that comes recommended thru here that said they would provide 20 leads a week to door knock as long as I make 2 sales but I take a 70% commission. So, just trying to figure out the best route.

Maybe you should name them?

 

[ValeRosso]

Not all leads are equal. Don’t give up commission level to be trapped with sub par leads. Make sure if you are giving up 50 points on your commission (70% is 50 points down from 120% and is equal to $2,000 per week in commissions if you are averaging $4,000 per week in sales) they should be supplying you with brand new exclusive direct mail leads (which you could buy yourself for $750 or less.)
If they are giving you Web generated leads (brand new) you are giving up $2,000 in commissions for leads you can buy for $$225 brand new). If they are previously worked direct mail you are giving up $2,000 for $20 to $80 worth of leads.
My point is, if you are giving up your money to get free leads, make sure you know what kind of leads they are committing to. Most likely, you are paying top dollar for leads that cost next to nothing. Not a smart move.

2nd this

 

[Jccwell]

When I joined my IMO, I was spending $900/week on fresh exclusive direct mail leads. I averaged about 7 or 8 apps a week.

I wasn't required to buy leads, but I realized that the most successful agents would spend $750 or more a week on leads. That being said, I 100% agree with JD and Newby.

Don't just talk to the recruiters though. Talk to the producers within those agencies. Ask them about their leads, production, and their overall experience with the agency.

 

[Todd King]

The IMO that is requesting $750 per week is DBGA, so that's the reason for all of that requirement. Good outfit, they just work differently due to being all telesales.

The other looks to be Ben Boman and his lead program, which doesn't have to be done that way as he has several options.

Both are solid outfits.

 

[tikibarrister]

The IMO that is requesting $750 per week is DBGA, so that's the reason for all of that requirement. Good outfit, they just work differently due to being all telesales.

DigitalBGA says: "1) Must be willing to take at least 10 leads/day". Leads are $67 for TV call-in. 50 leads a week at $67 is $3,350 per week. $750 will barely get you to Tuesday.

Even if it was half that, 50 * $33 = $1650/week. Wednesday morning.

But to answer your question, no, do not come in green and commit to spending $750/week with anyone.

Commit, no, and not through the IMO, but isn't spending $750/week about what people should expect to pony up?? That's about 20 leads a week. I hear @jdeasy has been buying 20 leads a week since Eisenhower was in office.