ACG - Agency Consulting Group

The PIPELINE

A national monthly newsletter for agency principals dedicated to agency management topic

BaseGrowth

PRODUCER VALIDATION SCHEDULE 0

Compensation based on BASE and GROWTH Commission Rates

IF YOU ARE USING THIS VALIDATION SCHEDULE, PLEASE ENTER THE NUMBER "1" IN THE CELL TO THE LEFT (B3)

NOTE: Enter data to outlined cells only. All other cells contain formulas and are locked

Producer Name: Producer Name Enter Producer Name

Compensation Desired 50000 Producer's desired total annual compensation

Initial Salary/Draw 35000 Salary or Draw offered by the agency

Prior Year Total Gross Commission 100000 Combined New and Renewal Commissions for Prior Year (renewable)

BASE Commission Rate 25%

Renewal Commission Expectation 90% 90000 Expected Annual Commissions/Fees from Renewals at a projected retention rate

Comm. Earned on GROWTH Production 40.0% Producer Commission for production in excess of Baseline

Comm Req to Base Comp 35000 Commission Production required to satisfy initial salary/draw - MINIMUM COMMISSION SALES GOAL

Comm Req to Desired Comp 72500 Commission Production required to satisfy desired compensation total- TARGET COMMISSION SALES GOAL

Total Production Required 72500 Total Commission to be written in order for producer to achieve Target Sales Goal (desired compensation level)

Average Expected Account Size 1000 Target account size(Commission)

Required Annual Number of Sales 73 Line 10 divided by line 11

Expected Proposal to Sales Rate 66.0% Percentage of proposals expected to be sold

Required Annual Number Proposals 110 Line 8 divided by line 9

Exepected Sales Call to Proposal Rate 20% Enter the total times the Producer is expected to call on an avg prospect before reaching the Proposal stage in L35 5

Or enter the % expected Sales Call to Proposal (quote) Rate in cell G35.

Required Number of Sales Calls 549 Line 14 divided by line 15

Weekly Targets:

Sales Calls 11

Proposals 2

Sales 1

Weekly Annualized Premium 13182 at avg comm rate of 11.0% Agency average comm rate

Weekly Annualized Commission 1450 for type of business to be sold

by producer

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Agency Consulting Group

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