MRL #045- 3 Things To Look For When You’re Looking For Your Next Agency

Got a text last week from an unhappy Producer looking to jump ship:

Max, looking to make a change. Can I pick your brain about new agency?

Fasho. I texted back.

He called me immediately, and for the next hour we went through all of it—why he’s leaving, what he likes and dislikes about his current agency, and my suggestions for what to look for in a new agency.

I get similar calls darn near weekly.

My conversation with this guy, who we’ll call Jose, was a carbon copy of 100 other conversations I’ve had with disgruntled Producers over the last year.

And if that many Producers have the same questions I guess I should go ahead and address them.

I mean… that is what this newsletter is for, right?

Helping Producers who need help!?

So, let’s get started…

 3 Things To Look For When You’re Looking For Your Next Agency

But first, a few disclaimers.

First, there are many different types and sizes of agencies, Producers, markets, etc.

This letter (along with the majority of our content) is aimed at middle market P&C or EH&B Producers.

Secondly, this letter is for Producers building their books primarily through cold outbound (cold calling, cold emails, drop-ins, etc.)

If you have the luxury of being handed accounts, or being born into a prestigious family in your market, this ain’t for you.

This is for the majority… the 90% of us who weren’t spoon-fed our books.

That being said… let’s get started.

#1- Does The Agency Have A Track Record Of Developing Producers Using Cold Outbound?

If the answer is “no” run the other way.

Think about it…

If they’ve never helped another Producer do it before, how the hell are they gonna help you?

To illustrate my point…

Let’s say you get a wild hair and decide to hike Mount Everest.

You know the terrain is treacherous, the consequences are deadly, and that you can’t do it alone.

So, you interview 2 local guides.

One has been to the top a dozen times via helicopter.

The other, has been to the top a dozen times by foot.

Who the hell you gonna hire to take you up that mountain?

#2 of course!

You need a guide who has actually done what you’re trying to do!

Same is true when choosing an agency.

#2- Do They Have All Of The Markets You Need For [Insert Industry].

This may seem obvious to you.

But surprisingly, for a lot of the Producers I talk to, they don’t take this into consideration.

They’re more worried about commission splits, or the potential to own their own book.

Well I say… what good is all that if you cant write anything?

I’ll take 25% of 1,000,000 over 50% of 100,000 any day.

If you wanna niche and write a bunch of business you need markets.

In case you missed it… reread this newsletter from a few weeks ago titled Revenue’s Hierarchy Of Producer Needs.

TLDR: Market access is a must.

#3- How Many Producers Have Left The Agency In The Past 3 Years?

If other Producers are jumping ship, it’s probably not a ship you want to get on.

Ignore the fancy offices, the company retreats, and the cool logo merch they’re promising you. Worry about management and how they treat their people.

Their “culture” is probably the buzzword that springs to your mind.

To be clear, I don’t really like using that word, because it’s been hijacked by a lot of the woke corporate garbage floating around… but if it fits for you, that’s fine.

All I’m saying is… if Producers are leaving it’s a good sign something is broken.

Better to move on to the next one.

Now, you’re probably thinking…

“How Do I Find Out All These Answers?”

Simple.

You ask management to their face.

If you want direct answers, ask direct questions.

They’ll either tell you the truth, or they’ll fumble over their answers.

Either way, you’ll know.

If possible, I would also ask to speak with other Producers in their office.

Try to get a good mix of newer guys and older guys.

You might be surprised at the beans that get spilled behind closed doors.

In Closing…

Do your due-diligence.

Try to set your emotions to the side and take stock of the entire situation.

The talent pool is ankle deep in this industry, so you’ll have no shortage of agencies throwing themselves at you.

Your job is to not drink the kool-aid, parse through the bullshit, and get to what really matters.

1. Does The Agency Have A Track Record Of Developing Producers Using Cold Outbound?

2. Do They Have All Of The Markets You Need In Your Niche?

3. Do They Take Care Of Their Producers?

If they can answer “yes” to all of the above… then go for it.

Anything else they throw in is lagniappe.

Ok, that’s enough outta me.

It’s almost midnight and I’m fading fast.

It’s off to bed for me…

Give em’ hell tomorrow.

See you next Sunday.

Kick ass take names,

Maximus F. Revenue IV

P.S. If you found this letter helpful… consider checking out:

 The Producer Playbook- The Step-By-Step Guide To Building A $1,000,000 Book of Business (From Scratch)