Enter your nameEnter your cityEnter the yearOf.docx

Enter your name
Enter your city
Enter the year
Office Hours:
TABLE OF CONTENTS
Section Name
Page NumberAgency Vision & Mission
Our goals for Year 1Agency Market
Analysis Market Demographics
Agency Community RelationshipS PlanAgency
AnalysisBuilding An AgencyCapital investmentagency office
management planmarketingagency production goals30-60-90
Day planAgency Compensation Projectionsinput expenses
Sheetinput production Sheetincome summary Sheetbook of
business summary sheet
AGENCY VISION AND MISSION
Our Agency Vision
Our Mission Statement
OUR GOALS FOR FIRST YEAR
List your high-level goals for the office. Examples of these

goals include Ambassador Travel, Top 100 New Agents and/or
excelling at Territory / Market promotions.
The Agent:
The Team:
Our Office Facility:
Our Customer Service:
AGENCY MARKET ANALYSIS
Market DemographicsDiscuss the demographics and growth
opportunities in the prospective Agency locations. How will
this market research affect the Agency? What specific customer
needs have you identified?Note: Community is the local
market; Market Area is broader, ie: the county in which your
community is located.
Primary Market Area:
Demographic Analysis
Community
Micro Market
Market Area
Macro Market
Population
Population Trends
Number of Households

Home Ownership Rate
Median Housing Cost
Median Income
Language Other Than English
Market Factors
State Farm Household Penetration
Auto Penetration
Fire Penetration
Agency Community Relationships Plan
Communicating With and Involving Team Members

How will you utilize your team members to build your brand
and presence in your community/market area?
Monitoring Community RelationshipsHow will you measure
your involvement and impact in the community? What
strategies will help to maintain and build relationships in your
community?
Agency Analysis
Summarize your Agency Analysis by identifying the most
important aspects of your business situation. Record your
agency and market Strengths, Weaknesses, Opportunities &
Threats/Competitor Analysis below.
STRENGTHS
WEAKNESSES
·
·
OPPORTUNITIES
THREATS / COMPETITOR ANALYSIS
·
·
BUILDING AN AGENCY
Capital Investment
How much capital do you anticipate having accessible in the

first 6 to 24 months. How will investing in your Agency impact
your other financial commitments. It is recommended that you
have 12 months of your personal expenses set aside with access
to additional funding.
Agency Office Management Plan
Recruiting Plan
How many team members do you plan to have? What types of
recruiting do you plan in finding your team? Do you have a
growth strategy for increasing your team in the future? What is
your team member skill set requirements?Agency Team Member
Compensation Package
How will you compensate your team? Will you incorporate a
bonus/incentive program? If so, explain.
Team Member Training Plan
How will you train & develop your team?
Accountability & Team Meetings / Team Meeting :
Do you have specific production / sales requirements for your
team? (See the chart below)
How will you measure and hold your team accountable for
results? When & how often will you meet with your team?
What will be the focus of the meetings?
Agency Production Goals:
List your office production goals that match the Year 1 monthly
goals in your compensation simulator. This table will reflect
the distribution of your monthly goals for yourself as the agent
and each team member.
Product Name

Monthly Team Total
Agent
Team
Member
#1
Team
Member
#2
Team Member
#3
Annual Team Total
Auto
Fire
Life
Health

Bank Loans Credit Card Products
Bank Deposits – Checking/Savings/CD’s
Mutual Funds
Marketing
How do you plan to tailor your sales and marketing strategies to
meet the needs of the market? Provide some specific examples
of sales and marketing tactics that you would employ. What is
your marketing and advertising breakdown?
Marketing/Advertising Breakdown

Marketing
Monthly Budget
Annual Budget
$
$
$
$
$
$
$
$
$
$
Year 1 Marketing Totals:
$
$
Agency Production Goal Strategies
Agency goals are the drivers of your business. These goals
should align with your Personal Goals. Some example goals are
listed below; do not feel obligated to use the ones provided and
please add any additional strategies if necessary.
Auto Goals and Strategy
The yearly objective is to write new/reinstated autos per month
or annually. Specific Auto growth targets are (ex. raw new,
added cars, youthful and commercial)

1.
Fire Goals and Strategy
The yearly objective is to write new/reinstated fire policies per
month or annually. Specific targets are….. (Ex. H/O, renters,
other personal lines policies and commercial)
1.
Life Goals and Strategy
The yearly goal is to write/issue policies with $ premium and
average premium volume of $ per case. Specific targets are….
(Ex. Term Life, Whole Life and Universal Life)
1.
Health Goals and Strategy
The yearly goal is to write/issue policies with $ premium.
Specific targets are….(ex. Fortis, Long Term Care, Med Supp,
new health HH)
1.
SF Bank Product Goals and Strategy
The yearly goal is to book deals/accounts per month or
annually. Specific targets are….(ex. Deposits, loan products,
credit cards)
1. Mutual Fund Goals and Strategies
The yearly goal is to book accounts annually with an average
account size of $ Specific targets are…. (ex. Account size,
number of accounts)

1.
Retention Strategies
How do you plan to sustain relationships with clients?
30-60-90 Day Plan
How do you plan to prepare 90 days prior to your opening?
What tasks will you be completing prior to your opening?
What do you anticipate doing 30-60-90 Days after your
opening?COMPENSATION SIMULATOR in
www.SFRPX.com(Print or insert the PDF documents)
· Expenses Summary
· Production Summary
· Income Summary
· Book of Business Summary
7
2. Demographics
I recommend starting your plan on a New market opportunity.
When you connect with the sales leader you can ask if he would
prefer you do the proposal on an assignment
Within the template is a table for the demographics in the area.
I’ve inputted some of the above figures, into it for you with
data we have internally. You may find additional information
on sites such as http://www.city-data.com.
The Micro Market is Boynton Beach, Florida (33436). The

Macro Market includes the following zip codes (33424, 33425,
33426, 33435, 33436, 33437, 33472, 33473, 33474). This will
help with a comparison as you look outside your immediate area
to the surrounding areas you will also target for growth.
Demographic Analysis
Micro Market
Boynton Beach, Florida (33436
Macro Market Area
33424, 33425, 33426, 33435, 33436, 33437, 33472, 33473, 3347
# of Agents
0
3
Population
42,557
170,076
Population Trends
+4.8% since 2010
+6.8% since 2010
Household Trends
+4.8% since 2010
+6.5% since 2010
Number of Households
18,899
75,286
Number of SF Households
3,380
12,677
Home Ownership Rate
Median Housing Cost
Median Income

Language Other Than English
Market Factors
State Farm Household Penetration
18%
17%
Auto Penetration
15.6%
14.3%
Fire Penetration
1.1%
1.2%
3. Compensation Simulator Expenses & Production Inputs:
Below are sample Production & Expense Inputs that may help
you to reference to amounts used by a recent candidate. I would
recommend inputting expenses for all fields. It’s better to
overestimate expenses slightly. Payroll, Rent & Marketing will
be your largest figures. I typically see average expenses at
approximately $192,000 - $275,000 annually ($16,000 - $23,000
per month).
This is a summary of expenses to help you understand what the

amounts might be.
4. Average Premiums and Base Numbers to use in your
Compensation Simulator:
Below are the average Premiums and Base number
recommendations I would use to input into your simulator for
your targeted market area. The production estimates are just
estimates! When you talk with your affiliated Sales Leader I
would be sure to ask them what types of production they would
be looking for in a new agent!
Auto:
Premium: $1390 (Annualized)
Auto Lapse Cancellation Rate: 17%
Estimated Monthly Production: 50-60 (this is a guestimate
where I would start). Though for Years 2 – 6 increase approx.
5% each year)
Fire:
Premium: $1405 per year
Fire Lapse Cancellation Rate: 11%
Estimated Monthly Production: 25-30 (this is a guestimate
where I would start). Though for Years 2 – 6 increase approx.
5% each year)
***Something to keep in mind is you are limited to how
many homeowner policies you can write In Florida. I
recommend speaking with the Sales leader in regards to what is
currently allowed and how you can make up the difference
(writing through a state insurer, plups (personal liability
umbrella policies), paps (personal articles policies) and
business policies
Life:
Life Premium: $500 (this is an estimate based on selling term
and whole life)

Life Estimated Monthly Production: 8 - 12 (this is a guestimate
where I would start). Though for Years 2 – 6 increase approx. 1
additional life each month)
Health:
Health Premium: $250 (this is an estimate based on hospital
income, and other health products)
Health Estimated Monthly Production: 2 - 4 (this is a
guestimate where I would start). Though for Years 2 – 6
increase approx. 1 additional life each month)
Bank:
Credit Cards/Loans Commission: $75 (you get $25 for credit
cards, though can get 500 – 1000 for Mortgages though you will
sell more credit cards than loans)
Credit Cards/Loans Monthly Production: 4 - 6 Years 2 – 6
increase approx. 1 additional per month
Deposits Commissions: $50 (you get $25 for Savings accounts
or up to $150 for CD’s)
Deposits Monthly Production: 2 - 4 Years 2 – 6 show growth
though probably only .5 per month growth each year (just
reflect an additional 1 in Year 3, then year 5)
Mutual Funds:
MF Premium: $5000
MF Production per month: 1 - 2 (I would show growth here for
years 2 – 6, though no more than 3 per month by year 6 is
realistic)
5. Team:
I would strongly recommend hiring 2 - 3 Full time team
members. They should be salespeople as well. You will
probably want to offer some type of commission or incentive
along with a base pay to ensure your team is motivated and
meeting/exceeding goals you have created. Follow along with
the proposal to complete all of the sections. Team and

Marketing should contain most of your details within your
proposal. These areas will be of great focus during your
interview.
6.Marketing:
Here’s some details you might want to think about using within
your marketing section of your proposal:
1. Direct Mail:
a. We call our direct mail program Prospector Plus (+). How it
works is we use a 6 touch bundle program for sending mail
approximately every 6 weeks to each lead you purchase. The
current cost for sending a 6 touch bundle of direct mail
is .66 cents. What this means is that for .66 cents each person
will be getting either letters/postcards from you approximately
every 6 weeks (each piece of mail is only costing you
about .11 cents).
i. You want to have a program in place where you are sending
new bundles each month. I would also recommend having some
knowledge as to the ROI for this towards your anticipated
production goals.
1. Ex: Purchasing 3,000 new bundles of Prospector + direct mail
will cost $1,980 monthly (3000 x .66). Anticipating a response
ratio of 1.5%, 45 people will call each month for an Auto
quote. Assuming a close ratio of 20%, you will sell
approximately 9 new auto households each month (45 x 20%).
· Since this is Households, and most Households have more than
1 car, you could safely assume the following:
· Estimating each household has an average of 1.75 cars, I
anticipate 16raw new auto polices per month (9 Households x
1.75 cars = 16 Raw New Auto Policies)
· From the auto, you can expect to multi-line customers for your
Fire, Life, Health, Bank and Mutual Fund goals as well.
2. Internet Leads:
b. This is the latest push for building new business. Internet
leads come from websites such as netqoute.com and

insureme.com. These are hot leads, where a customer is
inquiring for a price quote. Whatever Insurance
Agents/companies purchase leads in the same area will also get
that same lead. It’s important to have a quick response for the
greatest ROI. State Farm is currently subsidizing these leads by
approx. $5. These will cost you approximately $6 - 9 for each
lead (actual cost being $10 - $13 per lead though subsidized by
$4). Prices can vary depending on the quality of the lead.
ii. You want to have a program in place where you are
purchasing so many of these each month.
2. Ex: Purchasing 150 Internet leads per month will cost
approximately $1050 per month ($7 x 150). There is no
response ratio associated, since you are acquiring all of the
details for these customers who are coming to you looking for a
quote. Assuming a success ratio of approximately 4%, this will
generate approximately 6 new auto Households each month (150
x 4%).
· Since this is Households, and most Households have more than
1 car, you could safely assume the following:
· Estimating each household has an average of 1.75 cars, I
anticipate 11raw new auto polices per month (6 Households x
1.75 cars = 11 Raw New Auto Policies)
· From the auto, you can expect to multi-line customers for your
Fire, Life, Health, Bank and Mutual Fund goals as well.
1. Referrals:
a. Many agents have a referral system in place. Recent study
have shown that approximately 27% of raw new auto business
comes from referrals. Something to keep in mind though is as a
new agent your results will take time after building customers
and relationships.
b. Your referral program could include gifts available to
customers who drive referrals to you in the form of a gas or
coffee shop gift card (less than $20 for tax purposes). Talking
about how you will utilize your satisfied customers to build
your agency with their friends and family is a great idea.

2. Telemarketing:
c. Of course there are the “Do Not Call” lists, though there are
people you can reach out to in the community. Additionally,
potentially 20-30% of the Prospector + direct mail leads you
purchased often also include phone numbers as well. Having a
system in place for calling on people to build appointments is a
great tactic.
· Ex: I often hear of a success ratio for someone interested in a
quote to be approximately 10%. If you set goals for your team
members to make 50 cold calls each per week, they can
anticipate quoting 5 customers (50 x 10%). Utilizing a similar
success ratio from the direct mail quoting of 20%, you can
anticipate these calls generating 1 new Auto sale per week. If
you have 2 team members and yourself using this system, you
could expect 12 new Autos per month (1 for each person in the
office x 3 people x 4 weeks). From the auto, you can expect to
multi-line customers for your Fire, Life, Health, Bank and
Mutual Fund goals as well.
3. Social Media:
d. This is something a lot of people are utilizing. Facebook
pages for your Agency, Twitter accounts…
4. Community Sponsorships:
e. Are there any events that occur in your community?
Festivals you could take part in? Little League or soccer teams
you could sponsor and provide T-shirts for with your Agency on
them?
5. Media – Digital/Print/Billboards:
f. Local newspapers? Google hit words to purchase if someone
searches for “your community and insurance”? Billboards?
(these can be very costly)

XXXXXXXXXXX
State Farm Agency
Business Proposal
Huntington Station, NY
xxx
TABLE OF CONTENTS
State Farm Corporate Mission and Vision
XXXXX Agency Vision
Agency Year One Goal
Agency Market Analysis
Market Demographics
Agency Community Relationships Plan
SWOT Analysis
Building an Agency
Marketing Strategy
Goals and Strategies
30-60-90 Day Plan
xxxxxxxxx Agency Projection and Results Summary

STATE FARM CORPORATE MISSION AND VISION
State Farm Mission Statement- State Farm’s mission is to help
people
manage the risks of everyday life, recover from the unexpected,
and realize
their dreams.
We are the people who it our business to be like a good
neighbor; who built a
premier company by selling and keeping promises through our
marketing
partnership; who bring diverse talents and experiences to our
work of serving theState Farm customer.
Our success is built on a foundation of shared values – quality
service and relationships, mutual trust, integrity and financial
strength.
State Farm Vision- Our vision for the future is to be the
customer’s first and
best choice in the products and services we provide. We will
continue to be the leader in the insurance industry and we will
become a leader in the financial services arena. Our customers’
needs will determine our path. Our values will guide us.
XXXXXX STATE FARM AGENCY- VISION AND MISSION
Our Agency Mission Statement- To implement State Farm’s
Mission Statement in our community and to commit to expand

the brand trust that has made State Farm Insurance number one
in the nation. We will provide our diverse community with our
very best level of service and expertise in the insurance and
financial arena.
Our Agency Vision- To become the customer’s number one
choice for all the insurance, banking and financial services
needs, through our commitment and passion to cater the
customer’s individual needs, in a professional, knowledgeable
and friendly manner while reflecting the same level of respect
we share within the office, in every interaction with our
customer. We will strive to build the trust around the
community to develop long-lasting and profitable relationships
with our customers and members of the community alike.
AGENCY YEAR ONE GOALS
The Agent:
· To implement all aspects of State Farm’ and my Agency’s
Vision
· To abide by State Farm’s code of conduct, rules and
regulations in order to foster an ethical and fair agency
environment.
· To build a team that shares the same passion, promote their
career development to achieve higher level of expertise,
enabling us to excel when serving our community.
· To establish and maintain relationships with the Huntington
Station community and its surrounding, their residents, local
businesses and organizations.
· To be ranked within the Top 100 New Agent.
· To achieve Ambassador Travel Club.
The Team:

· Two 2 Full Time Sales Employees, fully licensed in Property
& Casualty, Life &Health and State Farm Bank Certified. At
least one must be bilingual (English and Spanish)
· Employee Handbook will outline the Agency Vision,
Expectations, Compensation, Benefits and Rules of Conduct to
abide by.
· Structured Monthly Sales Goals for each team member
· Goals monitoring via Bi-weekly one on one meetings with
Team Member, Monthly Performance Evaluation and Annual
Review
· Compensation to include uncapped commission program to
allow employees financial growth and motivation to surpass
goals and speed up Agency growth.
· Involvement of Team Member in community related activities
and local organizations along with Agent.
· Recognition program for excellence.
Our Office Facility
· Clean and welcoming environment.
· Use of State Farm Signage to promote presence and attract
new business
· Display of State Farm brand and marketing materials
throughout the office
· Office layout conducive to discuss customers needs in a
private manner while maintaining an open feel environment.

· Child-Friendly area to occupy children while parents are
taking care of business.
· Break room stocked with beverages for customers and
employees, and sitting area for a lunch break.
Office Hours:
Monday, Wednesday and Friday 8:45
AM to 5:00 PM
Tuesday and Thursday 8:45 AM to
7:00 PM
Saturday 9:30 AM to
1:00 PM
* Additional hours for Agent and Team
Members by appointment
Our Customer Service
· Friendly and Courteous Customer Service, with a family feel
approach.
· Greet every walk in with a nice smile, make eye contact and
acknowledge their presence. If a wait is required, provide
customer with expectations and make customer comfortable
while is waiting.
· In the age of technology, it will be a priority to convey a smile
and let the personality come thru the convenience of using
technology.
· Coach team members and provide feedback while looking to
improve customer service skills.
· First impression is key, make the customer like us from first
interaction.
· Agent to greet in person or over the phone all new customers

and thank them for their business.
· At the conclusion of every customer interaction, confirm the
customer is satisfied with the help provided.
· Take customer satisfaction as an opportunity to politely ask
for referrals, ask them to share the experience with their family
and friends to see if interested in the same level of service.
· Implement a plan of action after the sale, to maintain customer
interaction that will lead to new sales.
AGENCY MARKET ANALYSIS
Location:
Huntington Station, 11746
Primary Market Demographics:
Number of Agents: 1
Population: 67,808
Households: 21,292
State Farm Household Penetration: 27.2
State Farm Auto Penetration: 13.3
State Farm Fire Penetration: 21.1
Average Home Value: 487,900
Average Income per Household: $96,449
Population:
White Population:
50,783
African-American Population:
5,942
Hispanic Population:
14,208
Asian Population:

5,177
American Indian Population:
613
Hawaiian Population:
52
Other Population:
6,933
Median Age 39.1
Languages:
· 70.1% of residents speak English at home.
16.4% of residents speak Spanish at home
· 9.6% of residents speak other Indo-European language at home
· 3.2% of residents speak Asian or Pacific Island language at
home
0.8% of residents speak other language at home

Cars and other vehicles available in 11746:
· No vehicle: 356
· 1 vehicle: 3,491
· 2 vehicles: 7,819
· 5+ vehicles: 436
Housing units in structures:
· One, detached: 19,659
· One, attached: 610
· Two: 572
· 3 or 4: 327
· 5 to 9: 272
· 10 to 19: 90
· 20 to 49: 95
· 50 or more: 230
· Mobile homes: 75
The Huntington Station area has a very diverse population with
about 40% of its population being minorities. There is a large
Hispanic Community, especially in the Hamlet of Huntington
Station where it accounts for the majority of their population.
The Hispanic Population represents more than 20 % of the total
area population for zip code 11746, based on the last US Census
figures. It is projected to continue grow at a dramatic pace over
the next 10 years, making it a great servicing opportunity for
my Agency and with my office’s vision make a large presence
in the fast growing community.
The market area also contains a large portion of high income
households, which translates to bigger incidence of multiple
vehicle households, high value homes that will boost the Fire

premiums and big potential for banking and financial services
opportunities. The market area’s catastrophic exposure to wind
and storm surge is very minimum, ensuring our ability to be
able to cater to their Fire needs.
There is a strong presence of a variety of Small Businesses,
with concentrations on major roadways like Jericho Turnpike
and the New York Ave/110 Corridor, while there is hardly any
industrial presence, making it a great area for State Farm focus
for Business Lines.
AGENCY COMMUNITY RELATIONSHIP PLAN
In order to achieve short-term and long term Agency goals, it is
pivotal to establish and develop strong ties with the community.
In addition to leveraging the current relationships I have with
people in the community - residents and business people-, by
being a former resident and by working in the community as an
insurance broker for 6+ years, I plan to join local business
organizations, be part of volunteering programs and support
local minority events and programs.
Both Agent and Team Members will be required to actively
participate in events, meetings and community activities as a
way to strengthen our ties and grow our presence in the area.
We will continue with our commitment to build the State Farm
brand in our community by identifying ourselves as part of the
company as well by giving out remembrance materials when
participating in such events.
Following are the organizations I plan on involving myself and
my team:

1. Huntington Chamber of Commerce – Becoming a member
will expand networking opportunities for the Agency.
2. Manor Field Family Center (La Casita)- Involvement with La
Casita on a volunteer basis as a way to give back to the
community through supporting and becoming an advisor on
their bilingual community service programs dedicated to assist
families in stabilizing their lives.
3. St Hugh’s Catholic Church- Enrichment Programs –
participates as sponsor on their charity and community events.
4. Huntington Station Revitalization Coalition NOW – seek
participation and involvement in the program. This group of
professionals and business owners are actively working on a
revitalization program designed to take back Huntington
Station.
AGENCY ANALYSIS
STRENGTHS
· Strong Brand Name
· Excellent Product Line
· Competitive Prices
· Experience in the insurance business and excellent track
record as a Sales Team Member
· Excellent Customer Service
· Excellent Leadership
· Bilingual in a Fast Growing Hispanic Community
· Convenient hours and location

WEAKNESSES
· Established neighboring agents
· Limited recognition as a Financial Services provider
OPPORTUNITIES
· Becoming an advocate for the underserved Hispanic
Community (financial literacy and risk management in general).
· Continued growth of Hispanic Population and their income
levels
· Being the 1st Hispanic
State Farm Agent in my market area.
· 2 Large Independent Insurance Agencies, with large
participation in the Hispanic community moved out of the area
because of relocation and sale of books of business due to
retirement.
· Large presence of Main street type business in the market
area.
· Huntington Station revitalization plan is underway with the
addition of multi-family housing projects.
THREATS / COMPETITOR ANALYSIS
· Internet Competition
· Increased marketing from our main
Competitors, focusing on price
· Increased market share for sub-standard companies and
Independents
· Allstate re-opened market for New Business Fire in my area.

BUILDING THE AGENCY
Capital Investment – Make sure to put own info in here
The initial Capital Investment needed to cover Startup Expenses
for my Agency Is $XXXXXXX. The full cost of those expenses
will be covered by personal funds.
A separate fund in the amount of $25,000 will be available for
use to cover any unforeseen expenses or to make payments in
advanced prior to receiving income.
In addition to those funds, access to a Line of Credit will be
available up to $75,000 at an average interest rate of 6%.
Operating Loan Expenses will be adjusted accordingly, based on
the portion of the credit line used to cover interest and loan
repayment.
Our monthly household expenses are covered by my husband’s
Retirement Income and his Engineering Company Income,
providing me with the ability to reinvest profits into the
Agency, stimulate Agency growth and fulfill my commitment
for financial success.
Agency Office Management Plan
Recruiting Plan
The Agency will employ 2 Full Time Sales Team Members on
the first year- recruitment and licensing (P& C and Life and
Health) will be completed prior to Agency opening. State Farm

Bank Certification will be completed within the first month of
opening.
I will rely on my personal and business relationships in the
community, postings of job opportunities at Insurance Schools
and Internet Job Sites. I will take advantage of my experiences
and connections to recruit goal driven and motivates candidates.
The selection process will account for the following skills:
Sales-oriented, interpersonal skills, work ethic, multi-tasking
abilities, computer proficiency, leadership and communication.
At least one team member will be bilingual and candidates must
have some prior work experience in the insurance or financial
services industry.
On year 2, a Part Time service oriented employee will be added
to the team.
Agency Team Member Compensation Package
Each Licensed Team Member will receive a base salary of
$40,000 plus commission. The Commission Structure will be
geared towards the Agency
Production Goals.
Bonus Structure
Auto & Fire 3% of written premium
Life 10% of total premium
Health 15% of total premium
Automobile Loan $50 for each loan booked or $10 for each
application if declined or approved and not taken.
Credit Card $20 for each card approved or $10 for each
application if declined.
Mortgages $100 for each mortgage closed
CD $15 for each one
Mutual Fund Referral $15 each referral

There will be minimum monthly production requirements in
place for each Sales Person in order to qualify for a bonus:
20 Auto and Fire policies + 4 Financial Services
The average Monthly Commission per Sales Team Member is
calculated at $1000. However, the Bonus Structure is designed
so each Team Member has an unlimited income potential.
From time to time, I will run Promotions on Specific Products
as a way to increase sales. The promotion incentives could be
monetary, paid time off, in the form of gift certificates (dining,
beauty, etc) or a combination there of, depending of what
motivates the Team Members the most.
Examples of incentives are illustrated below:
· Afternoon of Beauty: Team Member will receive a Mani&
Pedi Gift Certificate and gets to leave the office at 2PM
· Lunch with a Friend: Gift certificate for 2 to have lunch at a
local Restaurant with a paid 3 hour lunch break.
· State Farm Bank Gift Card.
Team Member Training Plan
I will have a Structured Training Plan for each Team Member
based on their Job Description.
The Training below is geared to Sales Team Members:
1. Introduction to the Agency thru a Coaching Session

explaining Agency Mission, Vision and Nature of the Business,
so Team Member can fully understand their role and
expectations.
2. Completion of State Farm Modules to become licensed to sell
insurance products.
3. Reinforcement training provided by Agent to get acquainted
with State Farm Management System, Quoting and Application
Process.
4. Take advantage of Modeling Behavior by allowing Team
Member participate in Agent’s interaction with customers, to
observe, retain and replicate.
5. Program a visit for the Team Member to a successful State
Farm Agent’s Office, to immerse them for a full day in a fast
pace operating Agency, to witness the dynamics of their Sales
Team Members and to understand their success.
A similar training plan will be developed for Service Tam
Members, with emphasis in the daily operations of the Agency
and Customer Relations.
Performance Management
Each Team Member will have defined Production Goals and will
follow up closely on the achievement of those goals. For that I
will have in place a Performance Management System, which
will track Team Members Production, their development and
provide feedback towards improvement.
The system will incorporate the following:
1. Weekly meeting:

a. Review weekly production and go over hot prospects.
b. Provide feedback and assistance with ideas or pivots
c. Review of everyday marketing activities in place used to
generate sales: call out, outside prospecting, internet responses,
referrals.
d. Uncover training deficiencies and areas where help is needed.
2. Monthly Review (beginning of the month):
a. Review Performance vs. Monthly Production Goals for
previous month. This review will be documented in writing and
kept in each employees file. Poor performance can lead to
termination of employment.
b. Identify specific areas that need improvement based on
previous month production. Agent to coach Team Member on
that specific area to improve future results.
c. Evaluate Marketing Sources for recent production to
determine what’s working and what’s not, so Agent can review
Marketing Plan accordingly.
d. Go over expectations for current month and areas of focus
e. Transmit the energy and motivation to strive for a better
month – remind the Team Member how their success is pivotal
in the Building of our Agency and the pride that comes after a
job well done.
3. 3-6-9 Month Review: Quarterly review for new hires to
analyze progress, performance vs. expectations and
accountability. Since the only way to accomplish Agency Goals
is by each Team Member performing at the level of expectation,
Agent will rely on these objective reviews to identify under-
performers and determine termination of employment.
4. Yearly Performance Appraisal: This yearly performance
review is designed to:
a. Maintain and improve job satisfaction by letting Team
Member know of my interest in their job progress and personal
development.
b. Identify the need for further training.

c. Assure a factual and objective analysis of the Team Member
performance as compared to job requirements.
d. Help place you in projects/activities within the Agency that
will best utilize your talents and capabilities.
e. Provide an opportunity to discuss job problems or interests.
f. Give recognition for superior performance where applicable.
g. Compensation review and determination if a raise is merited.
Team Meetings
In addition to the individual meetings already mentioned
associated with tracking performance, there will be meetings
with the participation of the entire team:
1. Power Sessions – Short gatherings (15-20 minutes long) will
be held at least once a week, to discuss new procedures, daily
goals, success stories, customer feedback or address handling
on a relevant topic (e.g. CAT claims). Discuss community news
that may lead to new marketing approach and Competitors news
to uncover opportunities in the marketplace. This gathering
will also allow Team Members to make recommendations or
voice concerns and will allow Agent to coach on techniques that
are working for offering and selling some products/services.
2. Annual Meeting – At the end of the year we will hold an
Annual Meeting with the participation of all employees. This
meeting will address:
· Vision and Direction of the Agency
· Current Year Results
· Upcoming Year Business Plan and Sales Goals
· Marketing Approach

Team Communication
I will communicate the Agency Mission and Vision to all Team
Members, post them in a visible area of the office and will lead
my team by example and I will maintain an Open Door Policy.
MARKETING STRATEGY
I will utilize the DIRT concept as my Agency Marketing
Strategy:
Direct Mail
I will utilize Prospector + Direct Mail Program by allocating
$3600 per month to buy 5000 leads thru the 6 touch bundle
program at a rate of $0.72. The current response ratio of that
program is 1.5%, which will generate 75 leads to the Agency,
and a closing ratio of approximately 20% will generate 15 raw
new autos. Agent and Team members will multi-line customers
generating additional sales in Fire, Life, Health, Bank and
Mutual Funds.
Internet Leads
To take advantage of today’s trend of online shoppers, 150
Internet Leads will be bought per month at a subsidized rate of
$7 per lead ($1050 per month). Leads will be purchased from
NetQuote.com and Insureme.com and assuming a success ratio
of 4%, 6 new auto policies will be generated each month. The
multi-line selling strategy will be used to generate sales of
additional lines of insurance and financial services.
Referrals

Conveying our vision to our customers from day one is key to
establish and develop relationships with our customers. We will
politely ask our customers to share their experience with their
friends and family and refer us to them so they can benefit from
the same level of service. A Referral System will be
established to motivate and reward the person giving the
referral with a $10 Gas or Coffee Shop Gift Cards. In addition,
we will continue to strengthen the relationship with
professionals, organizations and members of the community
thru our networking approach to guarantee a continuous influx
of new referrals. Statistics show referrals generate about 27%
of raw new auto, which translates in about 11 new auto policies.
Telemarketing
We will designate Outgoing Calls time in our office schedule to
each Team Member to make cold calls. Team Members and
Agent will be calling 50 prospects each week. This strategy
will supplement Prospector + Direct Mail by calling in between
mailings those leads with available phone numbers and that are
not part of the “Do Not Call” List. In addition to those lists, the
Agent with the help of the Team Members will generate
additional lists: Commercial Autos (writing down name and
phone number as they vehicles are spotted), List of Local
Businesses.
Cold Calls success ratio is estimated at 10% and a closing ratio
of 20%, generating 12 raw new autos for the Agency.
Social Media
Agency will have its own Facebook Page, and will consider
other innovating social platforms as they become available.
Agent and Team Members will maintain a LinkedIn profile.

Community Sponsorship
Agency will allocate $1000 per year of the budget to cover
sponsorships associated to our involvement in volunteering
activities in the community.
The Agency will:
· Sponsor Youth sports to increase the branding in the
community among young families.
· Participate in Festivals taking place in the community
· Reach out to St Hugh’s Catholic Church and other religious
organizations in the area to host an Educational Session in
Insurance and Financial Services, targeting the Hispanic
Community in need of this type of literacy.
These types of events will allow our Agency to give back to the
community.
Newspaper
Bilingual Newspaper Advertisement, by publishing ads twice a
month. The total cost will be $3600 per year.
In addition to all the marketing strategies mentioned before,
Agent and Team Members will make the State Farm brand part
of their everyday life, will create awareness about the Agency
while interacting with people in the community and most
importantly will show our fine interpersonal skills in every
interaction as a way to sell ourselves and attract new customers.
Marketing Budget

Marketing
Annual Budget
Direct Mail
$43,200
Internet Leads
$12,600
Referral Program
$2,400
Social Sponsorship
$1,000
Newspaper
$3,600
Total
$62,800
GOALS AND STRATEGY
Product
Monthly Goal
Agent
Team Member # 1
Team Member # 2
Annual Goal
Auto
40
10
15
15
480 / $464,680
Fire
40
12
14
14
480 / $720,000
Life

9
5
2
2
108 / $54,000
Health
5
1
2
2
60 / $36,000
Loans / Credit Cards
12
2
5
5
144
Deposits
2
0
1
1
24
Mutual Funds
3
1
1 referral
1 referral
36
Auto Goals and Strategy
Total yearly goals of 480 policies

Private Passenger - 360
Commercial - 24
Motorcycle/RV Policies - 12
Marketing Strategies
· Prospector + Direct Mail 6 touch bundle plus Cold Call in
between mailings to those with available phone numbers.
· Set up plan for immediate response to Internet Leads. One
licensing permits, each Team Members will be provided with a
laptop for after hour responses. In the meantime, Agent will
take care of after-hours leads.
· Promote referral program and provide every new client with a
Referral Business Card Holder and some business cards.
Referral Business card holder is available in the State Farm
Catalog.
· Bilingual newspaper paid advertising – circulation of these
newspapers is free and very popular in the Hispanic
Community.
· Outside Prospecting to introduce ourselves and the office to
the local business –bring a remembrance item with our
information imprinted in addition to business card.
· Target Commercial Auto Opportunities – gather commercial
vehicle contact information of vehicles on the road for future
solicitation, visit gathering places for Contractors like Delis,
Mower Shops, Building Supplies seeking new opportunities to
quote.
· Promote Insurance and Financial Reviews as ways to uncover
additional needs.
· Review Multi-Line opportunity with every interaction
Fire Goals and Strategy

Homeowners- 120
Renters-120
PAP and PLUPS -120
BOPs, Contractors, CLUPs, Workers Comp and DBL – 120
· Prospector + Direct Mail.
· Cross-selling with auto products at point of underwriting.
· Visiting local condominium associations and rental
communities as part of the approach to grow the Condo and
Renters production.
· Strengthen existing business relationships with Realtors and
Mortgage Brokers and develop new relationships with
professionals in the area.
· Referral Program
· Establish a Business Relationship with the members of the
Huntington Station Revitalization Program, in charge of the
developing of a new multi-family complex in the area.
Life goals and Strategy
Goal of $54,000 in premium (based on an average premium of
$500)
Term life policies-64
Whole Life policies- 24
Universal Life-20
· Internet Leads
· Life Marketing and 3 Month Life Pivot Follow Up to every
new client
· Community Educational Session in Insurance and Financial

Services in the Hispanic Community will generate new Life
Insurance Leads. Seminar will be used to educate customers on
our products.
· Multi-line approach
· Promote Insurance and Financial Reviews to uncover
additional needs
· Referral system will also be used.
· Offer of additional riders at the point of sale like GIO
(Guaranteed Insurability Option) and explanation of Conversion
Credits to generate future sales.
Health Products Goals and Strategy
Total Yearly goals of 60 policies with a yearly premium of $
36,000
Disability Income-18
Hospital Income-24
Individual Credit Disability- 18
Marketing Strategy
· Multi-line pivots
· Uncover disability needs thru Insurance and Financial Reviews
· Offer Hospital Income at the time of sale of Motorcycle
Policies as a way to Supplement Personal Injury Protection
· Offer Individual credit Disability with every vehicle loan
Booking
· Outgoing Calls to Homeowners with Mortgage – for Mortgage
Disability Protection
· Health Marketing and 3 Month Health Pivot Follow Up to
every new client

Bank Product Goals and Strategy
Total Yearly goals of 168 bookings
Vehicle Loans- 60
Credit Cards- 80
Mortgages-4
Certificate of Deposits/ Checking / Savings- 24
· Direct Mail
· Vehicle loan pivot at point of Auto Sale for new clients and
for existing clients with every change of vehicle Transaction
and Total Loss Claim. Rate and Maturity date to be documented
on ABS. This will create refinance opportunities down the road.
· Outgoing Calls to Policyholders with existing loans.
· Inform leaseholder about our vehicle loan options in the event
they consider a lease buy out.
· When interacting with Howe-owners inquire about their
current rate and mention about State Farm Bank Mortgages.
Many Homeowners are still paying higher rates or are in need of
consolidating debt into one fixed payment
· Review Bank Products offerings when completing Insurance
and Financial Reviews.
· With every payment opportunity offer SF Bank Visa cards
making emphasis in convenience and rewards.
· For certain instances where Paid in Full premiums are required
(certain Contractors, New Home Purchases) offer State Farm
Bank VISA card as a way to finance those premiums taking
advantage of their introductory % interest for the first year.
Mutual Fund Goals and Strategies
Total yearly goals of 36 new bookings
Average account size of $4000.00
IRA Accounts / Coverdell Accounts- 28

Rollovers- 8
· Direct Mail
· Insurance and Financial Reviews
· New leads as a result of the Educational Session in the
Hispanic Community
· Maximize IRA pivots in the first quarter of the year for prior
year contributions.
· Inquire about employment history to uncover possible 401k
rollovers
· Target self-employed customers or the one working without
receiving 401k benefits and explain the importance of setting up
their own retirement fund
· Outgoing calls to young families with small children to review
needs for a Coverdell
· Establish relationship with local small businesses – and offer
the opportunity to manage their employee’s retirement accounts.
· Exceptional Customer Service
· Following up with a courtesy call to every new customer
· Send Welcome Letter and create a 3 Month Follow Up for
every new customer
· Develop a Multi-Line Book of Business
· Set up Customers on Recurring Monthly Accounts to avoid
policy cancellations.
· Be aware of customer’s life event and acknowledge them by
sending the appropriate card.
· Promote Insurance and Financial Review as a way to
strengthen relationship with the customer.
90 Days Before Opening Tasks:

1. Continue Agent Training Program
2. Find Office Location and Sign Long-Term Lease
3. Find out about any town permits or ordinances that apply
4. Register business location with any applicable state agency
5. Contact Utility Companies to schedule hook up date after
lease commencement
6. Order Signage in compliance with town ordinance
7. Shop for office furniture and supplies
8. Develop Compensation Plan and Employee Handbook
9. Start Recruiting Process for Team Members
10. Complete the process of becoming a member of local
organizations
1. Continue Agent Training Program
2. Finalize Hiring of Team Members and schedule licensing
classes for additional licenses required ( I will be hiring
employees with experience and at least one license)
3. Schedule Team Member Training, review expectations and
assign marketing responsibilities. Each Team Member to gather
200 leads. Those leads will be contacted within the first 30 days
of opening.
4. Order promotional material to distribute in the area prior to
opening
1. Assign Team Member to another State Farm Agent’s office
to get acquainted with the operation
2. Continue to coach and develop each Team Member

3. Take possession of the office space, complete renovations
and schedule furniture delivery.
4. Network with the community
5. Prepare for the Grand Opening
30 Days after Opening
1. Review Agency production vs. goals
2. Identify areas where additional training is needed
3. Begin Weekly Meetings with Team Members to work on
strategies towards achieving their individual goals
4. Maintain constant communication with Sales Leader, to
monitor the development of the agency and get feedback.
5. Visit all neighboring business to introduce myself and the
Agency
6. Continue networking to generate new leads.
7. Execute marketing strategies. At this point all Marketing
Strategies are in place and Direct Mail should be generating
responses after first mailing.
1. Continue monitoring Agency Production
2. Continue monitoring Team Member Development
3. Continue Weekly meetings and Monthly Meetings
4. Track expenses and compare to budget
5. Continue networking and Community Involvement
1. Continue monitoring Agency Production
2. Continue monitoring Team Member Development

3. Continue Weekly meetings and Monthly Meetings
4. Analyze Income and Expense trends vs. planned goals
5. Complete 1st Quarter Analysis and adjust Business Plan as
needed based on actual results
6. Have 3 Month Review with each team Member.
7. Continue networking and Community Involvement
Year at a glance, 1-3
Candidate: Posting Number: N/A
Scenario: Huntington Station BP
Location: Huntington Station, NY
Income
Premium Market Type: High Prem Market
Year 1 Year 2 Year 3
Auto Fire Life Health
Bank Loans Bank Deposits Mutual Funds Other
Expenses

Startup Payroll Fixed
Discretionary
This is proprietary information owned by State Farm® and it
may be lawfully used only as authorized by appropriate State
Farm management. IMPORTANT NOTE: This illustration is
designed to help you understand the compensation structure of a
State Farm independent contractor agent and how production, in
conjuction with managing expenses, can impact compensation
amounts. An independent contractor agent's actual results will
vary and figures provided herein must not be relied upon as fact
or as a guarantee of any future compensation amount. Figures
provided are for illustrative purposes only. This is not intended
to modify, amend, supersede, or replace terms of the State Farm
Agent's Agreement, schedules of payments, or amendments
(collectively "Documents") thereto. It is also not intended to
substitute for a complete review and understanding of those
Documents.
Year at a glance, 1-3 1
Year at a glance, 4-6

Candidate:
Posting Number: N/A
Income
Auto Fire Life Health
Bank Loans Bank Deposits Mutual Funds Other
Expenses
Startup Payroll Fixed
Discretionary

Documents.
Year at a glance, 4-6 2
Trends
Candidate: Posting Number: N/A

Annual Income
Annual Expenses

Year
Year
Documents.
Trends 3
Summary of Income Projections
Candidate:
Posting Number: N/A

Annual Forecasted Income
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Production & Service Compensation
$159,468
$294,659
$386,047
$530,766
$671,568
$820,786
Premium Builder Payments
$126,500
$121,000
$92,500
$62,500
$32,500
$2,500
Scorecard/Signing Bonus
$18,000
$37,000
$28,000
$32,000
$35,000
$38,000
Total Expenses
$274,188

$293,240
$391,450
$404,290
$454,387
$471,427
Total Net Income
$29,780
$159,419
$115,097
$220,976
$284,681
$389,859
Monthly Projections *Bonus income not included
Year 1 Monthly
Year 2 Monthly
Year 3 Monthly
Year 4 Monthly
Year 5 Monthly
Year 6 Monthly
Total Compensation
$23,831
$34,638
$39,879
$49,439
$58,672
$68,607
Total Expenses
$22,849
$24,437
$32,621
$33,691
$37,866
$39,286

Total Net Income
$982
$10,201
$7,258
$15,748
$20,806
$29,321
provided are for

illustrative purposes only. This is not intended to modify,
amend, supersede, or replace terms of the State Farm Agent's
Agreement, schedules of payments, or amendments (collectively
"DocumentSsu")mmary of Income Projections 4
thereto. It is also not intended to substitute for a complete
review and understanding of those Documents.
Summary of Production Projections
Candidate:
Posting Number: N/A
Average Monthly New Policy Production
Year 1 Monthly
Year 2 Monthly
Year 3 Monthly
Year 4 Monthly
Year 5 Monthly
Year 6 Monthly
Auto
40
50
65
70
78
80
Fire
40
45
60

65
65
75
Life
9
10
10
11
11
12
Health
5
5
6
6
6
7
Bank Loans
12
12
13
14
15
16
Bank Deposits
2
2
2
2
3
3
Mutual Funds
3
3
3
3

4
4
Monthly Production Total
111
127
159
171
182
197
provided are for

"DocumeSnumtsm")ary of Production Projections 5
Book of Business
Candidate:
Posting Number: N/A
Auto
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Auto Premium
$454,680
$1,078,197
$1,804,946
$2,520,775
$3,229,657

$3,874,052
Assigned Auto Policies
0
0
0
0
0
0
Personally Produced Auto Policies
480
1,004
1,624
2,206
2,791
3,307
Auto Policies in Force
480
1,004
1,624
2,206
2,791
3,307
Fire
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Fire Premium
$720,000
$1,501,200

$2,521,152
$3,590,305
$4,616,693
$5,782,026
Assigned Fire Policies
0
0
0
0
0
0
Personally Produced Fire Policies
480
1,001
1,681
2,394
3,078
3,855
Fire Policies in Force
480
1,001
1,681
2,394
3,078
3,855

Documents.
Book of Business 6
Summary of Production Inputs
Candidate:
Posting Number: N/A
Premium

Assignment
Assigned+Renewal Policies
# Policies
Auto
0
Fire
0
Bonus
Average Annual Premium
Base Compensation Rate
Auto
$1,263
8%
Fire
$1,500
8%
Life
$500
20%
Health
$600
35%
Bank Loans
$60
Bank Deposits
$25
Mutual Funds

$4,000
2%
Signed Bonus
Amount
Year 1
$18,000
Year 2
$12,000
Average Monthly New Policy Production
Personally Produced
Year 1 Monthly
Year 2 Monthly
Year 3 Monthly
Year 4 Monthly
Year 5 Monthly
Year 6 Monthly
Auto
40
50
65
70
78
80
Fire
40
45
60
65
65
75
Life
9
10

10
11
11
12
Health
5
5
6
6
6
7
Bank Loans
12
12
13
14
15
16
Bank Deposits
2
2
2
2
3
3
Mutual Funds
3
3
3
3
4
4
Lapse/Cancellation Rate
Year 1 Monthly
Year 2 Monthly
Year 3 Monthly

Year 4 Monthly
Year 5 Monthly
Year 6 Monthly
Auto
15.9%
15.9%
15.9%
15.9%
15.9%
15.9%
Fire
4%
4%
4%
4%
4%
4%
Semi Monthly Variable Compensation
Year 1 Monthly
Year 2 Monthly
Year 3 Monthly
Year 4 Monthly
Year 5 Monthly
Year 6 Monthly
Auto
2%
2%
0%
0%
0%
0%
Fire
2%
2%
0%
0%

0%
0%
provided are for
"DocumentsS")ummary of Production Inputs 7
Summary of Expense Inputs
Candidate:
Posting Number: N/A
Estimated Recurring Annual Expenses
Payroll Expenses

Startup
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Payroll
$104,000
$135,000
$200,000
$200,000
$230,000
$230,000
Team Member Recruiting
$0
$0
$0
$0
$0
$0
Team Member Benefits
$12,000
$12,000
$16,000
$16,000
$24,000
$24,000
Payroll Taxes & Fees
$8,320
$10,800
$16,000

$16,000
$18,400
$18,400
Agent Group Benefits
$1,200
$1,200
$1,200
$1,200
$1,200
$1,200
Self-Employment Taxes
$2,000
$0
$0
$0
$0
$0
Professional Development & Dues
$350
$2,000
$500
$750
$750
$1,000
$1,000
Miscellaneous
$0
$0
$0
$0
$0
$0
$0
Fixed Expenses

Startup
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Rent/Mortgage
$7,500
$30,000
$30,000
$30,900
$30,900
$31,827
$31,827
Utilities
$500
$3,900
$4,000
$4,000
$4,000
$4,000
$4,000
Business Insurance
$0
$2,018
$2,000
$2,000
$2,000
$2,000
$2,000
Business Operating Loan Payment(s)
$0
$0
$0

$0
$0
$0
Business Credit Card(s) Payments
$0
$0
$0
$0
$0
$0
Miscellaneous
$2,500
$0
$0
$1,500
$1,500
$1,500
$1,500
Discretionary Expenses
Startup
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Furniture/Equipment
$5,500
$0
$2,500
$2,500
$2,500
$2,500
$2,500
Equipment Fees

$2,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
Meals & Entertainment
$0
$3,600
$3,600
$3,600
$3,600
$3,600
$3,600
Office Supplies
$500
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
Advertising & Marketing
$500
$62,800
$75,640
$97,000
$109,840
$118,360
$135,400
Maintenance/Repair
$0
$0
$0

$0
$0
$0
Vehicle
$10,000
$10,000
$10,000
$10,000
$10,000
$10,000
Donations
$0
$0
$0
$0
$0
$0
Miscellaneous
$7,000
$0
$0
$0
$0
$0
$0
Monthly Average
$2,195
$20,653
$24,436
$32,620
$33,690
$37,865
$39,285
Annual Total

$26,350
$247,838
$293,240
$391,450
$404,290
$454,387
$471,427
Population White Population African-American
Population Hispanic Population Asian Population
American Indian Population Hawaiian Population
Other Population 50783 5942 14208 5177 613 52
6933
Sample Summary of Expense Inputs
Estimated Recurring Annual Expenses
Startup Expense Notes - Payroll Year 1 Notes - Payroll Year 5
Year 6 Year 2 - 6 Notes - Payroll
Be sure this matches your written proposal for base +
commissions expenses.
Ex: 3 FT Employees @ $20K Base + $10K in potential
Commissions if goals are met = $90K in this sample.
$130,000 $160,000
Will you hire additional people in a future year? Will there be
higher commissions that align with higher expected sales
goals? Will you offer base salary increases?

Cost for advertising to find employees. Career
Builder:www.teammemberjobs.com = approx. $300 per year.
Will you advertise in other locations for team members?
$500 $500
It is strongly recommended to always be recruiting. You could
lose a team member at anytime.
Will you offer health or potential retirement benefits for your
team? Will you pay all or provide a monthly allowance
towards benefits you are offering? Will you offer after
probationary period or not at all?
$4,000 $5,000
If offering benefits, and hiring more people, will this increase
to include another team member? Will you increase the
amount as years progress?
Approximately 8% of the total payroll for your team (Ex:
$90,000 x 8% = $7,200). $10,400 $12,800
Approximately 8% of the total payroll for your team (if the
payroll increases, this will reflect the corresponding year)
Will you need health benefits for yourself and/or your family?
$0 $0
Your own health benefits you might be paying. Will there be
annual increases with the cost?
Recommendation is to leave this blank. This is paid on the Net
Income (Income-Expenses). Inputted prior to knowing your

actual profit or loss will skew your net income. The FICA rate
is approx. 10.5%, and the Medicare rate is approx. 2.9%. Just
know you will have to pay taxes since no
commissions/income/bonuses you receive from State Farm
are pre-taxed.
$0 $0
See Year 1 recommendation, though as you progress with
Years 2 - 6 your net income will most likely increase which will
increase this expense.
Potential Licensing or Class Fees? Will you incur additional
fees in your first year? $1,000 $1,000 Annualized dues and fees.
TBD expenses associated with payroll? Employees of Future
Agents (EFA) Program covers licensing + salary expenses
prior to appointment for 2 FT Employees.
TBD expenses associated with payroll.
Ex: Potential bonus monies you will pay out to the team if they
achieve an annual goal? Potential expense for hiring
someone else within Year 1?
$4,000 $5,000 TBD Expense associated with payroll.
Startup Expense Notes - Fixed Year 1 Notes - Fixed Year 5
Year 6 Year 2 - 6 Notes - Fixed
First Month Rent & Security Deposit? Be sure to research
actual rent for your market area. How much space will you

need? What is the approx. Sq. Ft cost?
Annualized Rent or Mortgage expense. Ex: if $2,000 per month
x 12 months = $24,000 $25,000 $26,000
Will your rent increase? If you sign a 2 year lease agreement,
could it increase a % in years 3 & 4? Then again in years 5 &
6?
Monthly Utility fees incurred prior to opening your agency.
Annualized Utility Expense (Electricity, Water, Sewer,
Telephone). $6,500 $7,000
Annualized Utilities, though possibly increasing due to rising
costs.
Annual Fee - Errors & Omissions Insurance. Annual Fee for
Errors & Omissions Insurance. If you reflected
paying in startup costs, leave blank for Year 1. $1,100 $1,100
Annual fee for Errors and Omissions Insurance.
Will you have any loans? If utilizing the State Farm $25K line
of credit it must be paid back in 2 years. Variable Interest rate
= Wall Street Journal Prime + 4%
$0 $0
If only using the 25K line of credit, this expense would only be
in years 1 & 2.
If using the State Farm Bank Credit Card: $5,000 minimum
credit line, up to $25,000 maximum depending on credit score.
0% APR (annual percentage rate) on purchases for 6 months,

thereafter a variable rate of 13.24% - 20.24% APR based on
creditworthiness.
$0 $0
Will you continue to have credit card expenses for your
agency?
$ it will Cost to remodel/prepare space? Do you anticipate
construction costs?
Any other potential expenses associated with the fixed
category? $2,500 $3,500
TBD other potential fixed category expenses?
Startup Expense Notes - Discretionary Year 1 Notes -
Discretionary Year 5 Year 6 Year 2 - 6 Notes - Discretionary
Expense to buy desks, other office furniture, refrigerator,
microwave, TV, etc.
If you are financing furniture in your office, include an
estimated annual cost for monthly payments. Or possibly an
expense for buying additional furniture items not purchased
during your startup.
$1,000 $1,000 If financing furniture reflect continued expense
in future years.
Expense for phone system or other electronic devices in your
agency (not computers or printers as they are leased from
State Farm)

Monthly cost for computers? You lease each from State Farm.
Computer + monitor + printer = approximately $40 per month
each.
$4,800 $4,800
If adding more team members, be sure to increase expense for
leased computers or potential cost increases.
Lunch, Dinner expenses for your team prior to opening? Weekly
or monthly lunch expense for team? $1,000 $1,000 Weekly or
monthly meals for your team?
Paper, ink, toner, etc.
Annualized expense for all office supplies such as paper, ink,
etc. $1,500 $1,500 Expenses for supplies continued
You cant market prior to opening your agency, though this
could be an expense associated with purchasing State Farm
branded give-away items. Or possibly $ you will have ready to
spend on Day 1 when you open your agency for marketing
expenses.
Annualized Marketing Expense. This should equal what you
plan to do in your written proposal. $52,250 $55,000
Recommendation is to continue a marketing budget similar in
Year 1, or to possibly allocate additional funds in future years
if it is working well to continue growth of your agency.
Potential repairs you might incur for your office? $1,000 $1,000

Repairs
Gas and/or leased or financed annual vehicle expense? $3,600
$3,600 Gas, leased/financed vehicle. Will fuel cost increase?
Local charities you will contribute towards? $1,000 $1,000
Local charities you will continue to give to.
Office Signage Expense (Depending on local ordinances or
building codes at your location this could vary from a large
sign, glass window lettering, etc.
TBD other expenses? $2,000 $2,500 TBD other expenses?
$21,095 $24,441
$253,150 $293,300
Payroll Expenses Startup Year 1 Year 2 Year 3 Year 4
The amounts inputted below are only sample estimates! Please
be sure to think about your own potential expenses for each
category using the notes, conversations with your Sales Leader
and agents you speak with.
Payroll $90,000 $95,000 $125,000 $128,000
Team Member Recruiting $500 $500 $500 $500
Team Member Benefits $0 $2,000 $2,500 $4,000
Payroll Taxes & Fees $7,200 $7,600 $10,000 $10,240
Agent Group Benefits $0 $0 $0 $0
Self-Employment Taxes $0 $0 $0 $0
Professional Development & Dues $500 $500 $1,000 $1,000

$1,000
Miscellaneous $1,000 $2,000 $2,500 $3,000 $3,500
Fixed Expenses Startup Year 1 Year 2 Year 3 Year 4
Rent/Mortgage $5,000 $24,000 $24,000 $25,000 $25,000
Utilities $500 $6,000 $6,000 $6,000 $6,500
Business Insurance $1,000 $0 $1,000 $1,000 $1,100
Business Operating Loan Payment(s) $0 $0 $0 $0
Business Credit Card(s) Payments $0 $0 $0 $0
Miscellaneous $7,500 $1,500 $2,000 $2,000 $2,500
Discretionary Expenses Startup Year 1 Year 2 Year 3 Year 4
Furniture/Equipment $5,000 $1,000 $1,000 $1,000 $1,000
Equipment Fees $5,000 $3,600 $3,600 $3,600 $3,600
Meals & Entertainment $500 $1,000 $1,000 $1,000 $1,000
Office Supplies $1,000 $500 $500 $500 $1,500
Advertising & Marketing $1,000 $45,000 $46,000 $48,000
$50,000
Maintenance/Repair $1,000 $1,000 $1,000 $1,000
Vehicle $3,600 $3,600 $3,600 $3,600
Donations $1,000 $1,000 $1,000 $1,000
Annual Total $31,000 $189,400 $200,300 $237,200 $246,540

Miscellaneous $3,000 $1,000 $1,000 $1,500 $1,500
Monthly Average $2,583 $15,783 $16,691 $19,766 $20,545
State Farm ®
Website Resources
Here are a few website resources that may help you with the
elements of a business plan. These
websites have been passed on to us by agency candidates. They
are not recommended or required
resources for your use, only sites that others have found useful.
Business Planning Research Sites
www.score.org Counselors to America’s Small Business
www.sba.gov U.S. Small Business Administration
www.odod.state.oh.us/edd/1ststop Business Start‐up Kit
www.nase.org National Association for the Self‐Employed
www.cfwbr.org Center for Women’s Business Research
www.bizjournals.com/bizwomen Business Resource for Women
www.nawbo.org National Association of Women Business
Owners

www.sba.gov/onlinewbc SBA Office of Women’s Business
Owners
www.prenhall.com/scarbzim/index Entrepreneurship and Small
Business Resource
www.mbda.gov Minority Business Development Agency
Market Area Demographic Research Sites
www.economy.com/dismal Economic Information
www.bizjournals.com Business Journal
www.census.gov US Census Bureau
www.mapblast.com Information on specific
businesses (Must register to access)
http://www.city‐data.com/ City Data
http://zipskinny.com/ Zip Skinny‐US Census Data
Competitive Information and industry new sites
http://www.ambest.com http://www.insure.com
http://www.weissratings.com
THE NUMBERS BEHIND THE NEIGHBORS
1942

#1
AUTO INSURER
IN U.S. SINCE
1964
#1
HOMEOWNERS
INSURER
IN U.S. SINCE
41ST41ST
ST
ATE
FARM IS THE
RANKED COMPANY
FORTUNE
500
ON THE 2015
RANKED COMPANY
4th
LARGEST
COMPANY
HEADQUARTERED
in ILLINOIS

THAT IS MORE THAN THE
CHICAGO METRO POPULATION
13.2M
In 2014 Fire and Auto
Claims reached nearly
This is 36,000
claims/day
(U.S. ONLY)
16.8B
79th
LARGEST BANK
IN U.S. BASED ON
TOTAL ASSETS
$
AS OF Q4 2014
U.S CENSUS BUREAU 7/1/2014
2015
#1
LIFE INSURER*
IN U.S. SINCE
*State Farm is the #1 life insurer for individual ordinary
policies in force
Data provided by SNL Financial based on 2014 individual
ordinary life insurance production results

80.4M
policies in force in the U.S.
State Farm has
18,000 Agents 65,000+ Employees68,000 Agents’ Staff
AUTO
44.4M
HOMEOWNERS
27.4M
LIFE
7.8M
HEALTH
883K
BANK
1.9M
MUTUAL FUNDS
496K
State Farm offers about
100 PRODUCTS
ALMOST 60% OF STATE FARM HOUSEHOLDS
HAVE MORE THAN ONE PRODUCT
STATE FARM HAS

MORE AGENT
LOCATIONS THAN
MCDONALDS
STARBUCKS
WALMART STORES
SOURCES:
STATE FARM HISTORY TIMELINE
AMERICAN BANKER
U.S. CENSUS BUREAU
SNL FINANCIAL
P.A. COMPANY PROFILE
MMDG
2014 FORTUNE MAGAZINE, BASED ON REVENUES
AUTO AND FIRE RETRIEVAL
FINANCIAL REPORTING & ANALYSIS - U.S. ONLY AS OF
04/30/15
FINANCIAL REPORTING & ANALYSIS - U.S. ONLY AS OF
12/31/2014
FINANCIAL REPORTING & ANALYSIS - U.S. ONLY
AS OF 12/31/2014
MPC #152388 CMB 08312016
AP2015/08/1458
SECURITIES ISSUED BY STATE FARM VP MANAGEMENT
CORP. FOR MORE INFORMATION, CALL 1-800-447-4930.
SECURITIES ARE NOT FDIC INSURED, ARE NOT BANK
GUARANTEED AND ARE SUBJECT TO INVESTMENT RISK,
INCLUDING POSSIBLE LOSS OF PRINCIPAL.
STATE FARM VP MANAGEMENT CORP. IS A SEPARATE
ENTITY FROM THOSE STATE FARM ENTITIES WHICH
PROVIDE BANKING AND INSURANCE PRODUCTS.

NEITHER STATE FARM NOR ITS AGENTS PROVIDE
INVESTMENT, TAX, OR LEGAL ADVICE.
SM-10075 0815
State Farm Insurance
Pittsburgh, PA
2010
2
TABLE OF CONTENTS
Section Name Page Number
AGENCY VISION &
MISSION………………………………………………….3

BUSINESS PHILOSOPHY AND
FACILITY…………………………...3
MY
TEAM…………………………………………………………………
……….4
TEAM MEMBER MONTHLY
PRODUCTION………………………….5
PRODUCTION GOALS FOR YEAR
1……………………...……….…5
AGENCY MARKET
ANALYSIS………………………………………………..6
COMPETITIVE
ANALYSIS……………………………………………...6
AGENCY
ANALYSIS…………………………………………………….7
BUILDING AN AGENCY
CAPITAL
INVESTMENT…………………………………………………8
TEAM
DEVELOPMENT……………………………………………….....8
SALES AND MARKETING
STRATEGY……………………………....9
PRODUCT STRATEGY AND ACTION
GOALS……………………..10
PRIOR TO OPENING TIMELINE AND
GOALS……………………...15
INITIAL 100 DAY
PLAN…………………………………………………16
AGENCY 1

ST
YEAR GOALS AND BEYOND…………………………17
ATTACHMENTS
MONTHLY COMMISSION SCHEDULES AND TEAM BONUS
COMPENSATION TOOL
EXPENSES, INCOME SUMMARY, AND PRODUCTION
SUMMARY
3
“If we serve ourselves first and not our customers, we will in
time serve no one” – Adali Rust
Mission
Our mission is to help people and serve those people who
become our clients. We intend to manage
our clients’ risk and financial well-being through their trials
and triumphs, teaming with them to help
realize their dreams. We will provide the support, mutual
respect, and renowned resources of State
Farm to fulfill our clients’ goals and needs.
Personal Vision
My personal vision is waking up every morning excited about

being a State Farm Agent, being available
to help people, and motivated to capitalize on every opportunity
to grow my business. As the agent my
vision is to lead my team by example with dedication and
enthusiasm for the customer and the business.
I also envision the following to describe my agency:
• Consistently achieves Ambassador Travel year after year
• Is a leader in the community and participates in business
professional organizations and networking
groups; become known in my community as an expert in the
insurance and financial services arenas
• Deliver my knowledge and expertise as a teacher in the
community creating insurance and financial
awareness
• Is ranked in the top five percent of agents for both production
and profitability in the zone
•Has Obtained Chairman’s Circle recognition within the
agency’s first three years and has maintained it
consistently thereafter
• Achieved financial freedom through hard work and business
savvy
Business Vision
The business vision is to be the insurance agency of choice for
our community and surrounding areas by
building relationships and becoming a hub in the community for
financial and insurance direction and
advice while fostering a positive, fun, and goal oriented work
environment.
“Good is the enemy of Great” – Jim Collins
Business Philosophy and Our Office Facility
My business philosophy begins with the mentality of my

agency, the mentality that mediocrity is not
enough. When it comes to beating the competition, serving the
customer, building relationships, and as
a whole representing my name and State Farm in the community
we will resist the ease of settling for
good, and instead focus only on being great. My office will be
a professional setting with an atmosphere
of business that is personable and accessible, inspires creative
thought and knowledge, and is inviting to
all people. The office will convey my integrity, respect, and
work ethic to the clients, as well as some of
my personal interests. The office will be an enjoyable place to
do business and the client will feel
welcome to come back to my office at any time. It will also be
advertised to our customer that we are
an agency that does not stop working for them, that this is not a
9-5 job, and that even when my office
is not personally available for our customers, additional
technological and human resources are
available to them 24 hours a day 7 days a week.
A commitment to each customer and each customer’s individual
needs will remain priority at all times.
My office will work diligently to earn each client’s trust and
respect remaining accountable and open-
minded, and each client will be invited to share their needs and
dreams before any solutions are
proposed. The success of my office will be the direct result of
our many satisfied customers.
4

Aside from the individual customer, my agency is also
interested in the growth and success of our
community. Therefore, my office will do its best to give back
to the public, because I want as many
people as possible to benefit from the existence of my office
and for my office to be viewed as a vital
piece of the community.
Office Hours
The physical office will be open to our customers during the
following hours:
Monday and Friday from 9:00 A.M. to 5:00 P.M.
Tuesday, Wednesday, and Thursday from 9:00 A.M. to 7:00
P.M., and
Saturday from 9 A.M. to Noon
My team will also be available by appointment outside of our
normal business hours as well as the 24/7
resources provided through my website and the After Hours
Quote and Bind Specialists offered by the
company.
My Team
My team and I will be enthusiastic about helping each customer,
because we are people who love to
help other people. The agency team will be knowledgeable,
friendly, and always ready to roll-up our
sleeves to go to work for our customer. As the leader and
Agent I will strive to lead by example,
inspiring, motivating, and developing a professional team.
My team members will be encouraged to volunteer in the

community whenever possible and whether
in the office or out will believe that every interaction is an
opportunity to build/strengthen a
relationship, uncover a need, and/or enhance a value.
My team however is not confined by my office walls, and my
team extends to and is strengthened by
our operations partners, the Agency Field Office, as well as our
clients when appropriate. We will
remain open to suggestions provided by our extended team
members and ready to act on those offered
by the company, knowing the company is always operating with
my office’s best interest in mind. The
company maintains methods and programs to aid in my growth
and succession and to help my office
meet the needs of my customers.
The immediate members of my team will consist of 3
individuals including myself. My team will include
1 full-time licensed account representatives and 1 part-time
licensed account representative.
Licensed Account Representatives –The licensed Account
Representatives, (full time will be a salaried
employee; part-time will have an hourly wage) whom will have
the opportunity for an individual and
team incentive bonus, will be responsible for the growth of total
households in the agency and the sales
of all product lines. Account Representatives will have
individual appointment goals to meet each week,
using purchased leads, following up on direct mailings, internet
quotes, and ABS Household marketing
opportunities with our existing business. Every interaction will
be viewed as an opportunity to uncover
a need and every contact treated as a prospective customer,
showing the value of the agency.

Licensed Account Representative #1
• Full-time salaried employee: $22K w/ Commission
5
• Sales of all product lines
•Opportunity for Individual and Team Bonuses
• Two Saturdays per month
Licensed Account Representative #2
•Part-time employee: $12/hr
•Sales of all product lines
•Opportunity for Individual and Team Bonuses
•20 – 24 hours per week
•One Saturday per month
Goals and Compensation
Production Goals

Team Member Base Compensation
Team Member Hours Annual Base Compensation
Full-time Account Rep Salary $22,000
Part-time Account Rep 20-24 hours/week $12,480 - $14,976
Initial Total Team Member Base Compensation $34,480 -
$36,976
Monthly Commission Schedules and Team Bonus
*see attachments
Market Area Analysis – Downtown Pittsburgh, PA (The Center
of Opportunity)
Pittsburgh is the principal cultural and economic influence in
the eastern Ohio River Valley and has been
consistently ranked high in livability surveys, labeled in 2007
as “America’s Most Livable City” by Places
Rated Almanac and was labeled the same by Forbes.com in 2009
and 2010. Forbes.com also awarded

Downtown Pittsburgh as a top ten city to raise a family in June
2010, ranked number seven. Safety,
affordability, and educational opportunities were listed as top
factors. Compared to other cities of
similar size, housing costs in the ‘Burgh are among the lowest,
nearly 30% below the national average.
For this reason, as well as shorter commutes, breathtaking
views, and cultural conveniences, young
professionals, empty-nesters, and families are taking advantage
of the downtown living experience. As
Monthly Annual
Auto 40 480
Fire 25 300
Life 8 100
Health 5 60
Bank 8 96
Mutual Funds 3 36
6

of the census of 2000, there were 334,563 people, 143,739
households, and 74,104 families residing in
Pittsburgh. As of 2007, the population of the downtown area of
Pittsburgh (comprised of zip codes
15222, 15219, 15213, 15201, and 15260) was 60,954 with a
total of 23,636 households. Approximately
a third of the downtown residents are age 18-24 and another
12.3% of the population is age 25-34 (and
on the rise). The Black demographic makes up 31.2% of the
downtown population as of 2007, 13.3%
Asian (largest in the downtown area, over three times the state
average), and 12.6% Hispanic. The
population has decreased -3.3% over a five year span of 2002-
2007, however, it has declined the least of
the major Pittsburgh Markets (Downtown, Southside, East, and
North). The median income of this
market area comes in at $22,517, and the personal vehicle
penetration in the downtown area is
approximately 15.28% with a lapse cancellation of 16.15%.
Over the past six years the State Farm
household penetration has remained relatively unchanged.
Competitive Analysis (SF Agents and other Carriers)
There are currently 22 competitors located in the Golden
Triangle area, 13 of those offices in zip code

15222 and the other nine in zip code 15212. There is only one
State Farm agent located in the area,
Darlene Shelton-Lamot, with 21 years of service. The
competing agencies represent major insurance
companies as well as independent insurance agencies offering
large company products as well as several
small in-state insurers. Allstate has had an agency presence in
the downtown since 1984 and has
recently opened up a second storefront in the downtown in
2008. Some of the competition in the
Insurance business also offers financial services, and several
local regional banks (such as PNC and
Citizens Bank) offer select insurance products in addition to
their core services. State Farm has a strong
reputation with which to grow, however, differentiation will
require marketing and active community
outreach to grow the Schneider Agency reputation. By
providing high touch personal service,
professional solutions, and being available at the convenience
of our customers, I am confident we will
thrive in this competitive marketplace.
Agency Analysis (Strengths, Weaknesses, Opportunities,

Threats/Competition)
Strengths Weaknesses
on and strong work ethic
Underwriting Experience
difficulties in running a new business)
Bank of PA
-age to
elderly clientele

7
available resources
echnologically savvy and accepting of
change
Opportunities Threats/Competition
sizable growth opportunities in all lines of
business
and young adults to re-locate to
opportunities with local schools and
interest groups in an up-and-coming
community
tunity for business minded
and/or bi-lingual team members with
college presence
-State Farm insurance

and financial service providers in the area
– numerous online facilities
advertised in local marketing to obtain
coverage (Safe Auto, GEICO, Esurance, The
General, Cure Auto Insurance, etc)
for hiring motivated and talented
employees
Building an Agency
Team Development
The initial staffing of my team will consist of one full-time
account representative and one part-time
account representative. The part-time team member will be
staffed approximately 20-24 hours per
week. My full-time account representative is going to be my
right hand man/woman and the expert at
putting policies on the books. This person will be the most
competitive person in the office, other than
me, and a role model for my part-time account representative
who will become my second full-time
account rep as our policy count grows. The account
representatives will be people who have the gift of
gab, are approachable, believe in the products we sell, and are
motivated by the money and recognition
to sell them! I want the account representatives to make me

nervous about signing their commission
checks at the end of each month. I would like my full-time
account representative to have worked in a
8
similar industry, whether insurance or financial services with
some prior sales experience. I would look
to hire a part-time account representative from an area college,
who someday can see themselves as an
entrepreneur or in a sales career, maybe a State Farm agent.
I will be looking to hire people who are driven by the goals that
they set in their personal lives and will
be driven by the goals that we set as a team in the office. I will
be interested in my team’s lives outside
of the office and understanding their goals and aspirations in
life in order to build a connection and
respect on another level other than the business. Most
important, I will be looking to hire individuals
who like to help people, and who understand the significance
they show by meeting a client’s insurance
and financial needs.
My team will understand that we don’t make money, the agent
included, unless we produce. My full-
time sales representatives will be paid a salary, and my part-
time sales rep a modest hourly wage. I will
be paying my sales reps for production and also the opportunity
for individual and monthly team
bonuses which can be achieved with modest production levels.
For the first couple of months I am even

contemplating paying for the actions I want to see become
second nature to my team such as paying for
every 10 outbound phone calls and double for every five
appointments, paying for every referral
obtained by asking a current client, and paying for every cross-
sell conversation that touches three
different product lines. My team will also be rewarded for their
creativity in marketing and client
retention thoughts and actions.
Better + Different = Memories = Customer Loyalty!
My team will be able to run a complete quote to app for each
product line prior to day 1. I will rely on
my knowledge of auto and the quoting process to train in our
staple product. The Team Member
Learning Path will be heavily utilized as I administer training
across the rest of the products. When my
team is licensed I will (with permission from the agent I intern
with) ask that a team member at a time
spend a few days with me in the training agent’s office to gain
live experience with the systems they
have learned.
Sales and Marketing Strategy
My marketing strategy will enlist a variety of different
marketing opportunities to grow our customer
base and reputation for superior service in the community.
Direct mail and the purchase of internet
leads will be the foundation of my marketing campaign which
will be reinforced with activities such as
the regular x-dating of prospects, community networking,
participation in the Multi Agent Advertising

Program and other local advertising. Utilizing a mix of these
marketing strategies I plan to invest
$45,000 in my marketing program my first year of business.
Marketing Expenditures Amount/Frequency/Cost Annualized
Cost
Direct Mail – 6 Touch SMP 2,000 per Month @ $0.89 per
bundle $21,360
Internet Lead Programs 100 per Month @ $10.00 per lead
$12,000
Multi Agent Ad Program Monthly $200 $2,400
Website / Email Redirects Annually $75
SF Remembrance
Items/Giveaways
Periodically $2,500
Local Sponsorships Periodically $2,000
9
Miscellaneous Marketing Periodically $4,665

Prospector Plus will be relied on heavily and will be the engine
of my marketing plan. My team and I will
use Prospector to capture every client’s information, order the
monthly direct mail bundles, organize
and store each contact obtained through internet leads and any
additional contact lists uploaded, as
well as organize my office’s x-dating activities into a perpetual
marketing plan. A sequential marketing
plan will be utilized for any lead that we are not able to close
for any reason. A timeline for the SMP will
be built around the reason we did not close (ineligibility, price,
etc). Any cost for SMPS (with post cards,
direct mail, birthday/holiday cards, etc) will be paid for out of
the miscellaneous marketing budget. The
cost of any referral programs (gift cards) will be deducted from
the Remembrance Items/Giveaway
budget.
Additional Sales/Marketing Action Plans Frequency
ASK FOR THE BUSINESS Every Quote – no matter the price
“How can we help you?” - Listen, Pivot, Ask! Every Client
Conversation
Follow-up on all quotes (internet leads, warm leads
pended quotes, etc)
Internet leads / warm leads – Now!
Pended quotes – 24 hours

Strategically market business book with TLHM Monthly
Holiday/Birthday/Recipe Cards Monthly
Good Neighbor Magazine to top customers Monthly
Utilize product line examples to help customers
understand product need
To be Used Daily
$10 Visa or Gas card/hand-written thank you
referral program
To be Used Daily – the referrer gets one $10
Visa/gas card for each quote provided
Enhance Marketing with Agent Website Advertised Daily
E-mail Marketing to book of business Monthly newsletters
Become active in Local Organizations/Volunteer Monthly
Become a Chamber Member ASAP – Monthly attendance
Utilize test messaging for appointment and
payment reminders – certain demographics
Daily as needed
180 + Day Sequential Marketing Plan Monthly – Organized by

Prospector +
Make and utilize University Contacts New Student Welcome
packet remembrance item
and office information – Each semester
Homecoming Alumni Event Representation -
Annually
Action Goals
Auto Growth
Policy Gain Goals 480 Total Auto Applications / 40
applications per month
Strategy:
Auto is typically the largest entrance into any household, thus it
demonstrates one of the greatest
opportunities to market the agency, the agent experience,
expertise, and exceptional service. My office
10
will look to pursue auto growth through x-dating, marketing,
and purchasing leads, striving for steady
growth and quality business.

Action Plans Responsible Party When
Weekly Prospecting utilizing purchased leads
and organized through Prospector +
Team Weekly
Purchase 2,000 6-Touch postcard bundles
(Auto/Home)
Agent Monthly
Purchase 100 Internet Leads Agent Monthly
Create word-tracks/prospecting operating
procedures for message consistency
Agent Before Opening
Advertise and Capitalize on 24hr/day availability
– AHQ&B
Team Daily
Follow-up on all claims and use ADA when
possible
AR – claim follow-ups
Agent – ADA

Daily
Utilize office referral program Team/Agent Daily
Run Fire w/o Auto listings 2X annually Account
Representatives January – start new
year/save $$
June/July
Work Beginning of Day Report to reduce
lapse/cancellations
Team Daily
Develop a list of contacts (family, friends,
acquaintances) with at least one referral from
each direct contact
Agent
Team Members asked to
create their own lists
Before Opening
To maintain a quality book of business all
vehicles will be inspected and loss reports

reviewed
Team Daily
Fire Growth
Policy Gain Goals 300 Total Fire Applications / 25
Applications per month
Strategy:
Protecting a home, property, or business is an important
component of an insurance plan. We will show
our added value with our availability and desire to serve our
clients to grow a profitable fire book of
business.
Team Weekly
Purchase 2,000 6-Touch postcard bundles
(Auto/Home)
Agent Monthly
Purchase 100 Internet Leads Agent Monthly
Create word-tracks/prospecting operating
procedures for message consistency

Agent Before Opening
Work Beginning of Day Report to reduce
lapse/cancellations
Team Daily
Utilize office referral program Team/Agent Daily
Follow-up on all claims and use ADA when AR – claim follow-
ups Daily
11
possible Agent – ADA
Run Auto w/o Fire listings 2X Annually
Run Auto w/ 100/300 & 250/500 liability –
PLUP prospects
Account Representatives January – start new
year/save $$
June/July
Focus on commercial prospects – small business

– within first 6 months make introductions to 30
small businesses – 2 per week and ASK for the
business!
Agent Weekly
Target newly opened apartment complexes and
youthful market for renters insurance.
Agent Monthly
Develop & work centers of influence – Real
Estate Agents, mortgage brokers, etc…
Agent Monthly
To maintain a quality book of business
inspections will be done on all new business and
follow up on all second losses within 3 years for
internal review.
Agent or licensed team Daily
Schedule a ½ day with field underwriter in first
90 days then again in the next 90.
Agent Within 60 and 120 days of

Office Opening
Spend ½ day visiting the commercial businesses Agent or
licensed team 1x each month
Life Growth
Policy Gain Goals 100 Total Life Applications / 8
Strategy:
Life will be a part of our daily office activities and a critical
component in our office operations. We will
capitalize on all life events and help our clients to plan for their
future prosperity and long-term legacy.
No client will walk out of the office without understanding the
risk placed on their loved ones by not
having adequate life coverage.
Team Weekly
Everyone that comes into the office will be
spoken to about their life program.
Team Daily
All auto conversations will include multi-line

with life pivot and completed LNA.
Team Daily
Review all term renewals for possible
conversions.
Team Daily
12
Based upon conversations with clients capitalize
on “life events” of both current customers and
referrals. SMPs or Post-its created in Prospector+
Team Daily
Health Growth
Policy Gain Goals 60 Total Health Applications / 5
Strategy:
Neglecting health insurance can be one of the easiest and most
unsuspecting ways to squander an
individual’s or family’s financial plans. My office will ask
customers about their health coverage and will
seek to provide solutions that best protect their needs.

Team Weekly
Market to auto clients without health insurance Team Daily
Market mortgage disability to all homeowners Team Daily
Market disability income to current and new
commercial accounts
Team Daily
Bank Growth
Account Goals 96 Total Accounts / 8 Accounts per month
Strategy:
State Farm Bank products will be a competitive advantage the
agency will utilize to give our customers a
one stop shop experience. We will not only help our clients
recover from the unexpected but also
enable our clients to meet their short and long term goals with
our financial products.

Team Weekly
Promote the availability of State Farm Bank with
all product interactions – vehicle loans will be
discussed with every vehicle change/quote
Team Daily
Focus on the idea of convenience and all
products under one roof
Team Daily
Credit Card information will be applied to all
SFPP payments made in the office.
Team Daily
Credit Card will be offered as an option for all
non-pay defectors to keep coverage current
Team Daily
Market Home Equity to 30-50 year old clients. Team Every
available

opportunity
13
Market CDs to 55+ clients. Team Monthly
All IFRs will include education on banking
products and solutions.
Agent As IFRs occur
Mutual Fund Growth
Mutual Fund Goals 36 Total Accounts / 3 Accounts per month
Strategy:
No matter how much people think they know about financial
planning, the majority of people are in
much need of help in this realm of their life. Having the
conversations with our clients that will lead to
the solutions for a comfortable future will be a goal with all
customers of this agency. The State Farm
life-path funds are a competitive product, and just as
importantly, customer oriented. The agency will
take the time and effort to advertise the mutual fund product on
a consistent basis.

Team Weekly
Send out IRA letters to all self employed
customers.
Team Monthly
Talk to all new parents and grandparents about
starting 529 plans at birth.
Team Daily
All CD holders will be talked to about life path
income as an alternative strategy to CDs.
Team Daily
Send 401K prospects to all commercial account
holders.
Team Monthly
Market mutual funds to all HH with income
above $100K or home values above $1M.
Team Monthly

Prior to Opening Timeline and Goals
(Six Months Prior)
• Acquire bank financing, office location, and lease
• Develop/begin job advertisement and hiring characteristic
criteria
14
• Interview for initial team members
• Create customer folders (what do I want customers to know
about me and my office)
• Create employee administrative handbook (expectations,
vacation/sick time, etc.)
• Begin Implementing name recognition strategies/community
outreach
• Begin recruiting friends and family as first new customers and
create referral program
• Compile list of 200 Agent contacts to upload into Prospector +
(Three Months Prior)
• Hire two team members (to be fully licensed within 30 days of
office opening)
• Each team member compiles list of 100 contacts to upload into

Enter your nameEnter your cityEnter the yearOf.docx

Enter your nameEnter your cityEnter the yearOf.docx

Recommended

Recommended

More Related Content

Similar to Enter your nameEnter your cityEnter the yearOf.docx

Similar to Enter your nameEnter your cityEnter the yearOf.docx (20)

More from SALU18

More from SALU18 (20)

Recently uploaded

Recently uploaded (20)

Enter your nameEnter your cityEnter the yearOf.docx