Embarking on the journey of starting your own brokerage can be exciting. Aspiring entrepreneurs often find themselves lost in the unknowns, particularly the financial aspect. Questions regarding the actual cost of setting up a brokerage and dispelling rumors surrounding it have been the topic of many discussions.
Starting a brokerage requires careful planning and informed decision-making. We’ll be drawing from the experiences of four existing broker partners who will share their personal insights and demystify the cost of starting up.
We’re delighted to share with you Momentum 101, a brand new concept that has been carefully crafted to bring you all the latest and updated information from Momentum.
On Tuesday 13 June, we’ll be hosting our Momentum 101: The Cost of Starting Up offering you the chance to hear directly from successful brokers who have already walked this path. They have experienced the challenges firsthand and can provide authentic accounts of the financial commitments involved in starting a brokerage.
Rumours surrounding the cost of starting a brokerage often deter potential entrepreneurs from pursuing their dreams. False assumptions and exaggerated figures can create unnecessary fear and confusion. When people get in touch with us, we often hear that values of £50k-£250k. The upcoming session aims to debunk these rumours and offer a realistic perspective on the financial requirements involved.
The capital cost of starting your own insurance brokerage with Momentum is actually £0. We make that investment so that the start-up broker can focus all their resources, time, and money, on building their business.
Aside from the costs, there are many disadvantages of being Directly Authorised; as well as arranging agencies (we have TOBAs with over 270 insurers) you should factor in the time and resources required for regulatory returns, implementation of consumer duty/fair value assessments, managing software house implementation and maintenance, recruiting and managing staff, marketing, and all other aspects of a business.
Howard Pepper, Managing Director at Momentum Broker Solutions believes that the Appointed Representative route is the go-to model for those starting up.
“With the insurance industry predicted to continue its growth trajectory in the next several years, it also presents a massive opportunity for those wanting to venture into the insurance brokerage business.
At Momentum, we understand that some people may be deterred to start-up due to cost implications, however, partnering with us costs nothing. We have over 12 years experience supporting our Appointed Representatives in making their business dreams a reality and helping them to establish successful brokerages”.
Our session brings together a diverse panel of successful broker partners, each with their own unique background and experiences. They will offer valuable advice on how they felt through the entire process, and demonstrate that it takes more than just potential capital.
What is Momentum Moments?
Momentum Moments – 101: online webinars and sessions aimed at mythbusting rumours about starting your own brokerage.
Momentum Moments – Meets: our brilliant podcast series hosting industry experts discussing hot topics twice a month.
Momentum Moments – Minute: a 60-second update from Managing Director, Howard Pepper sharing with you all of the highlights from the month previous.