Dave Ramsey is right about one thing. The borrower is slave to the lender.
More FE Agents Fail because of Agent Debt than any Other Reason
Debt is the death of many new FE agents. Any advances you take are loans from the insurance company. When you take advances, you are going more and more into debt with each sale. You can easily advance yourself into bankruptcy.
12-month advances are insane! 9-Months are not ideal either. The best way to live in the FE world is taking commissions “as earned” but in reality most agents can’t afford to start that way. But we should ALL get there eventually.
At fexcontracting, we encourage agents to take 50% advances as soon as they can afford to. Most agents can’t start out at 50% advances unless they have a nice sized bank account. But for those that can it means you have to live a little leaner during your first 6-months in business but the money starts rolling in at the 7th month and you will build a MUCH more stable business from doing it this way.
When it comes to your money, think LONG TERM not short term. Do you see that little mellon-head guy there to the right sitting on all those piles of coins? He doesn’t take advances! He has multiple streams of income comming in from stuff he sold this month, 7-months ago, 8-months ago, etc. AND renewals from previous years. He made all those coins before he even got out of bed this morning. It’s automatic income! That’s how you succeed in this business.
You sleep MUCH better at night knowing the insurance company owes YOU money rather than you owe them money. Believe me, I sleep good!
At FexContracting you have the choice of taking 9-month Advances, 6-Month Advances or no advances at all. It’s always your decision unless you have really bad credit issues. They you might not be approved for advances at all.
