What is Producer Advance?
Producer Advance was developed with insurance producers in mind to solve a mismatch between income and expenses that businesses face with a rapidly growing business. The Producer Advance solution is simple pricing, simple processing and fast delivery of the cash when you need it.
Why should I choose Producer Advance?
Managing cash flow is a critical part of your business. Producer Advance provides a fast, transparent, easy to understand solution for your organization.
With traditional sources of liquidity, the underwriting process can be onerous, including site visits and numerous status reports. Banks demand repayment on their schedule without considering your business’ cash flow.
With Producer Advance, negative cash flow resulting from this advance is not a concern.
What is a commission advance?
Simply put, tomorrow’s commissions today. Producer Advance will buy the rights to certain future commission payments. We will pay you today the net advance amount (the commission amount being advanced less the advance fee).
Why does a commission advance make sense for me?
It really depends on your business and your goals. Our experience shows us that organizations in growth mode often need cash now to take advantage of opportunities. Don’t hesitate to call us to discuss.
How much will my commission advance cost?
The cost of the advance is 2%, multiplied by the number of months being advanced. For example, the fee on a 4-month advance would be 8% of the total amount to be advanced (4 months X 2%). The producer in this case gets 92% of the total advance in cash immediately and repays the full-face value out of commissions earned on renewals.
How do I receive my commission advance?
Advances are sent quickly to your account, typically within 1 business day of Producer Advance receiving the list of pledged sales. ACH is a commonly selected delivery method.