The Insurance Soup Blog

Mike's Tip That Could Save Your Business

Written by Taylor Dobbie | Jun 25, 2021 7:21:00 PM

 

One of the things that always makes me scratch my head is the way the typical Agent responds in times of financial hardship. They start to look around at all their bills and eliminate tools, resources, employees, and more all in the name of saving a few bucks.

I'm not going to lie. Over the years we have dealt with a few "I'm broke can I bail on CAC before it's paid up" Agents. Did you know that active Agents in CAC see 3, 4, 5 referrals a month that come out of that group? Independent of sales generated via strategies learned within the course and mastermind? But the Agent in panic sees a payment of $199 a month coming out and says "Shit, this isn't making me money."

I always dig a little when I see this because honestly the Agent's that do not claim ROI are the ones that are literally not doing the work. You are sitting on an education that is making thousands of Agents big money. You are sitting in a Mastermind that active members secure 3-5x the monthly cost in referrals. And the choice is to save $199.  What are you doing with that $199? Buying leads? Walking away from free or inexpensive, exclusive, targeted opportunity for shared, untargeted, often not even real leads?

If that money is coming home to pay bills, you've already gone under. You may not realize the ship has sunk because you're standing in the crows nest, but the ship sank.

You will not get out of a tough time in your Agency by reducing yourself down to nothing. Your sales which already have to not be up to snuff to be in this position are not increasing by cutting tools. Your morale is not getting better having to do things in less efficient and more expensive ways. 

If you are at the point where you are getting rid of tools and networks that make you money, it's time to bail on the industry. You ain't digging out of this hole with a phone and a phone book. Not if you're already in over your head and drowning.

Financial hardships in this industry require you to lean in and sharpen your skills. They require you to acquire more business. They require you to utilize your networks more than ever before.

Over the years we have seen SOOOOOO many Agents that are struggling respond to their situation. By and large the ones that make it aren't the ones trying to save a few bucks. They're the ones focused on driving more traffic, driving more sales, and driving more opportunity.

If you are reading this and you are trying to figure out how to navigate your financial situation in order to stay in this industry, ELIMINATE the nights out. ELIMINATE your $4 coffees. ELIMINATE your silly Amazon purchases. Bring lunch. Cut out the BS you spend money on that you convince yourself you NEED to get by.

You don't grow or save a business by shrinking your business, not when you barely have any residuals.

If you are a $5 million Agency and your overhead is too high, you can reduce a team member or two and still function and run, but the morale, work ethic, customers, and books size will all suffer.

When you are an Agent with a book at $1 mil or less, your'e just surrendering without actually declaring it.

Evaluate your situation.

When you're starving you don't throw away your rifle because ammo is expensive. You buy more ammo and get out there and bring home more meat.