mcnebraska
New Member
- 6
I understand the concepts of buying a book of business but I'm wondering of the different ways to value a company to buy in as a partner.
A good friend bought his book from previous company ($4,000,000) and also bought an agency's book ($4,000,000). The agency he bought he takes ownership over the next 2-3 years while the producer stays on as long as he wants with a salary and commission on new sales.
I was brought on with the intention to become partner in the next 3-4 years. In the meantime I'll grow my book while all also recruiting an agent or two.
When I negotiate the terms in a few years should I push to buy into the whole business (both books and any new producers) or be happy with just the retiring producers book and new producers books?
Also the plan as of now would be that I would be managing/training the agents. Would you suggest a flat salary plus my normal commissions, percentage of their commissions, our bonus structure based on their success?
I know it is a ways a way but I'd like to at least have an idea of what it could look like. Thanks for any insight or food for thought.
A good friend bought his book from previous company ($4,000,000) and also bought an agency's book ($4,000,000). The agency he bought he takes ownership over the next 2-3 years while the producer stays on as long as he wants with a salary and commission on new sales.
I was brought on with the intention to become partner in the next 3-4 years. In the meantime I'll grow my book while all also recruiting an agent or two.
When I negotiate the terms in a few years should I push to buy into the whole business (both books and any new producers) or be happy with just the retiring producers book and new producers books?
Also the plan as of now would be that I would be managing/training the agents. Would you suggest a flat salary plus my normal commissions, percentage of their commissions, our bonus structure based on their success?
I know it is a ways a way but I'd like to at least have an idea of what it could look like. Thanks for any insight or food for thought.
