[jotucker1983]

Amanda,

Mind if I play devil's advocate a little bit ?

Why are new brokers not up for it? Here is why...

Many new brokers who are the "Entrepreneurs" of our industries come from closers of other companies. These companies give limited information and not enough training and transparency to their closers. Once the closer understands their worth and/or realized that the leadership they needed to grow was not given- they leave, take their book or everyone's book, start their own LLC and the cycle starts again. We now have closers who are the owners of these ISOs.

What's wrong with this? I am not saying that being a closer is bad... It's actually a great thing when it comes to sales. The one aspect these new brokers are missing is the professionalism to communicate, do business development, and actual office work like flipping the pages in a document the correct way. Closers know how to close. Closing is what they are good at. It is like a bunch of caveman running around trying to build a better wheel but missing the tools and not wanting any help to do so.

Here's the thing, it's been communicated to me on this forum that there are these large brokerages who spend a significant amount a month on "leads", to where their reps just have to come in, sit down, get fed warms leads all day, and close. If that's the deal, it makes sense to keep working under a "larger house" because you get access to a $20,000 - $100,000 (or more) monthly marketing budget and you do not have to spend time creating a sales pipeline, the marketing budget does it for you.

But we all know that's never the deal.

- You are usually fed leads here or there, but for the most part the "house" is going to require you to go out and produce the vast majority of your leads through whatever "creative" way you can come up with as they will usually give you no strategy for doing this other than randomly calling out of a phone book.

- Or, they might use the Glengarry Glenn Ross model where the guy who is closing "the most" gets the most leads, which only keeps the top guys high on the board and the low guys at the bottom.

So if the rep for the most part has to produce his own leads and close his own deals, that's 95% of the job. The other 5% in relation to setting up a Funder Network, managing your vendors/suppliers, setting up your virtual office and filing your own taxes are mainly routine tasks. So when you say said rep is missing tools, what tools are you referring to?

Why should a guy share his commission with a larger house, as well as potentially be cut off from his renewal compensation (when he severs ties with said large house) when he technically can do the entire position independently?

Going independent also gives him liberty on structuring deals and competing better on deals. Working under a house limits you only to "their" relationships and pricing, going independent opens you up to other products and pricing. Plus, you can add in other products for cross-selling. Eventually you want to get to a point where your renewal/residual portfolio is covering your personal expenses, which is "financial freedom". You can't do that unless you go independent.