Growing Your Insurance Agency: Avenues for Funding
How can you fund your insurance agency's growth? Whether you're trying to add insurance jobs or you need financial assistance for new training opportunities that will support your growth, you need to get creative about financing. While it can be difficult to find funds that allow you to grow your business, there are resources available.
Why Are You Looking for Funding?
Before you seek funding, you need to know what brings you to this place. If your financial model is unsustainable, then looking for a loan may not be appropriate. However, if you want to acquire a new agency, add jobs so you can move into a new area of business, update your technology, or purchase leads, those are opportunities for positive growth.
Seek Out Loans
Look for an individual that's willing to support your business growth: according to Forbes, "Equity capital from the founder(s) and/or outside investor(s)" is one of the key ways that businesses grow. You'll need to negotiate the terms of this agreement. Is it a loan? What do the investors expect from their investment in your business?
Look for Business Grants
Does your town offer grants to small businesses? Could you access funds from an organization that focuses on hiring recent graduates or those who have been out of the workforce for a while? While your insurance agency isn't a charity, there are still organizations that will consider how you can contribute to the job development and training opportunities in your community, and they will give you funds that allow you to expand.
Look to Partnerships
If you're working to raise funds for a new project at your insurance agency, look to partnerships to boost your current business. For instance, you could partner with the local driving school to promote your insurance packages, or you could sponsor an event at the Seniors' Centre. While not all partnerships will bring in large amounts of funding, you could hit on one that is the perfect match.
Create New Ideas and Products to Support Your Clients
If you're stuck for funding, start to think about the other opportunities you have to share your insurance knowledge. Can you offer paid webinars or workshops, conduct speaking engagements, or create materials for your clients? Some of these materials could be paid materials, while others could be free. Perhaps you could become the insurance agency that creates a book on insurance for teens. If you're looking for a small amount of consistent funding, these ideas could help your agency diverge into the field of insurance education while attracting new clients as well.
You need money to grow. At American Agents Alliance, we want to see your insurance jobs and your agency thrive. Talk with us today about helping you find the right sources for funding and learn more about our extensive membership benefits.