Have you ever thought about telling the boss you’re ready to chuck it all in for the solo Authorised Representative (AR) gig? Well before you start dreaming of luxury holidays and 3 day work week, read the below nuggets of reality; 1️⃣ If you purchased a book of business do not expect a warm reception from every client. Sure you’re happy to inherit the client but they have no clue who you are? In a business built on trusted relationships, you are going to have to earn client trust and this will take time. 2️⃣ When you buy a book of business, you also buy the claims. Make sure you are well informed of all pending claims before purchase and research how top heavy the book is in certain lines, especially long tail. Claims experience can make or break the Broker relationship. 3️⃣ Staff will be your biggest expense. If capable, suggest running the book lean the first 12 months to gauge income first. When you are ready to hire, invest in building an educated and experienced team and you will see a healthy ROI. Hire out of desperation and your bank balance will end up in a world of pain. 4️⃣ Promises make debt and debt makes promises. Client’s will promise to pay but be aware the actual date payment is processed might be different. Keep a close eye on your monthly income and manage your debtors at the start and at the end of each week. 5️⃣ Working from home sounds great but not everyone can hack it. Sure the zero dress code and unlimited TV sound appealing but unless you have the discipline to maintain work hours, and a dedicated office space, productivity will be a challenge. 6️⃣ Lastly… THE BUCK STOPS WITH YOU! You take all the responsibility and you take all of the blame when things go wrong. Be prepared for the occasional difficult conversation with both clients’ and underwriters. You are the one and only lead in all meetings, there is no backup. So there you have it, a snippet of reality for Brokers considering taking on the role of AR. While it might not sound that glossy to some people, passionate AR’s love the challenge of finding success running their own show. Photo Credit: gratisography.com