Protecting Your Client Relationships When You Sell Your Agency
Protecting Your Client Relationships When You Sell Your Agency
The following article was written by Senior Marketing Specialists’ very own Vice President of Growth and Development, Dan Mangus, and was published in America’s Benefit Specialist magazine for November 2023.
To access the full magazine and original article, click here. You can find this article on pages 12-13.
For years, you have worked hard to find new clients. Once you found them, you cared for them through careful product selection to protect them, and ongoing communication and support to ensure your products did everything they were supposed to do to protect your clients financially and provide them peace of mind. Now the time has come for you to open the next chapter of your life and to give your attention to enjoying retirement or caring for other obligations.
You don’t want to leave your clients without someone to care for them, but who can care for them as much as you do? How can you find someone who can pick up where you left off and give you the financial freedom you deserve from your hard work?
If you are at this point, there are several things to remember as you start your search for the person to whom you hand off these client relationships. There are many options for agents to sell their block of commissions to, but the tricky part is finding someone who can give you the money you need and care for your clients and staff.
Generally, your clients decide to do business with you because of your type of personality, your values and ethics. A potential buyer of your agency should share those qualities. If you do not look for a character match, the ongoing relationship between your clients and the new owner will probably break down.
Is the potential buyer willing to maintain the way you currently do business? If you see your clients in their homes, is the new agent willing to do the same? What if you have an office that the clients are used to coming to? Is the buyer willing to keep your office and staff it adequately so that the clients have someone to stop by a visit with if they need help? Do you have employees? Is the buyer ready to provide them with the same compensation, work environment and opportunities for their future that you were providing? There are many items to consider as you transition, but relationship continuity is critical to both you and the buyer of your agency.
To effectively work with your clients, your potential buyer will need to get to know your clients as you do. The only way they can do that is to have the information and introductions that only you can provide.
Have you set the stage correctly? You can do that by ensuring all of the names, addresses, phone numbers, e-mail addresses, etc., are accurate in your database of files. It would help if you also had plenty of notes on each client so the new agent can understand the individuals and their unique needs.
Build a game plan with the new agent to make introductions to your clients and any centers of influence you have in your community. The more effort you put into maintaining relationships, the more value your agency has to a buyer and the more peace of mind you will enjoy because you will know your clients and staff are comfortable with the new owner.
You have worked hard to build a past to be proud of. A good buyer will be committed to providing a future for all of the relationships you have created.
Dan Mangus joined Senior Marketing Specialists in 2012 as our National Sales Director, serving over 10,000 agents nationwide. He teaches Medicare courses at universities and keynotes national insurance conferences. He also conducts Medicare certification courses for both the National Guardianship Association and the American Association of Daily Money Managers. Dan has published numerous books and articles for advisors in the Medicare market.
Enjoy this article? Try these articles from Dan Mangus: Building and Transferring a Block of Medicare-related Policies or What to Ask if You Are Considering Buying Another Agent’s Business!
Interested in learning more about acquisition? Check out Acquisition Pathways!
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