WHAT TO EXPECT NOW THAT YOUR LICENSED?:
Congrats!!!! You are now a Licensed Life Insurance Broker. You are able to work with numerous carriers enabling you to provide your clients with the best possible service and protections.
You can also become licensed in other states affording you the opportunity to serve clients in multiple states. Visit our broker resources pages, to gain access to the website to apply for additional non resident licenses.
You are all ready to start protecting families, but where do you get your clients from? Check out the steps to run a successful business below.
STEPS TO RUN A SUCCESSFUL BUSINESS
Below are the 10 steps we recommend to ensure you experience optimal success in your new business:
Please read the steps very carefully.
1. You now have a business: We advise consulting a tax advisor, attorney and accountant to be sure you are starting off your business right. Structuring it correctly, properly accounting for income and expenses will ensure that you get to benefit from the many tax advantages of being a business owner. Your Legal Subscription allows you to add your business to it so that you can obtain on demand legal counsel. We recommend establishing a legal business entity for which you will run your life and legal insurance business through. We also recommend going though your legal services or other professionals to have your business formed on your behalf vs doing it yourself. Be sure to keep all records related to your business either physically, digitally or both including notices from the IRS and Secretary of State.
2. Taxes: Having a legal business provides the opportunity for reduced tax liability and protection.
For example: depending on the structure of your business you may be able to avoid certain social taxes at all such as; social security, medicare and so on. You also can claim business expenses that are also personal expenses and write them off like your ; business start up expenses, home office, phone, business meals, work related travel, work related car use, renters insurance, internet services, business interest and banking fees, vehicles (all or depreciation), professional services, the salary you pay your spouse or children for helping you run your business, charitable contributions, education like your licensing course, books, The Wealth Archive course, Child care, medical expenses and health insurance, moving expenses, retirement contributions, advertising and promotions such as your lead sources, real estate taxes, mortgage interest, entertainment for yourself and your clients and sometimes even your state taxes for current and previous years. See full list of business write off's here and consult your tax professional to see what is applicable for you.
3. Financial Success Formula: The most successful people in any business, in any industry and any professional have a plan. Here is the plan that we have found the most success using: A Keep your day job and if you don't have one get one. To prevent you from feeling any scarcity for money, this protects you while you build up towards your residuals paying your monthly expenses. If you write a policy a day for a year depending on the amount, types and your expense amounts this can be achieved within one year. Dedicate a few hours a day or more if you have it to your life insurance business. B. Recieve monthly payments as earned vs advances: Speak to your upline and ensure you are set up this way - see more about why this is so important below in the Get Paid section.
C. Open a Business Bank account to receive your monthly distributions and residuals; this allows you to monitor the income you are earning separately from other sources and to better track your business income and expenses for tax and accounting purposes. We recommend paying yourself 1/3 of that monthly income for whatever purpose you may want to use it like: Leads, asset creation, investing etc, setting aside 1/3 for taxes and spending the final 1/3. You may be able to reduce your business tax liability to zero and if so, you can spend or invest what you don't owe the IRS after your tax advisor has confirmed that.
D. Open a Business Credit Card: We recommend making every business purchase possible on this business credit card to help simplify and streamline our accounting for tax purposes and paying it off in full before the statement date each month.
4. Leads : Create a Datalot account, which provides qualified live transfer leads of individuals interested in buying life insurance. You can select your desired criteria for leads and must deposit $500 to begin the service. Ask the person who invited you here to tell you how you can receive $100 in free leads before creating your account. You can add additional money in $100 increments as you need to buy more leads overtime.
5. Client Management: After each transaction send the client a text message summarizing the protections they now have; prices, due date, riders, etc.
6. Client Retention: Advise the client that if any other person wants discuss insurance with them related to legal or life, that yo are their final expense advisor and they should reach out to you to be present for that conversation.
7. Client Education: Go over the living benefits of permanent life insurance protection and the historical uses of it. The more reasons a person has to have life insurance the more likely they are to keep it.
8. Gain Referrals : Ask each client, who in their life is important to them or they would be effected emotionally or financially if something were to happen to them? Expect no less than 3 referrals per client.
9. Get paid: The best possible way to ensure longevity and requirement to work with the L|I|F|E Firm is a specific payment distribution type called - AS EARNED - everyone at L|I|F|E Firm, Inc uses this method because it insulates you against thousands of dollars in charge backs due to clients not paying, missing payments or canceling their protection. With this method, each month for the first policy year the insurance company will pay you, when the client pays them monthly. and then if the policy type you wrote them offers residuals, you continue to for the life of most policies or a predetermined period of time receiving yearly deposits for each client. Each policy you write becomes a passive income asset. Enjoy!
10. Insure yourself and your family the Rockerfeller way: do not put undue financial strain on yourself to do so but as you can follow the path for generational wealth that we teach and ensure your children and theirs will never have to work to live again! If you want more financial education join