More than once, the thought crossed my mind to leave my radio sales position and start my own advertising consultant business. I could start taking the 15% agency discount and call my own shots.
I made the right call by not doing that. I wasn’t cut out for it. I wish now I would have included a paragraph in my letter to new sales reps about why going out on your own isn’t for everybody. So, if you are getting caught up in The Great Resignation and are thinking about quitting your sales job to start your own advertising business, consider the following:
WHO ARE YOU?
The best salespeople I have known like to sell and not do anything else pretty much. Writing copy, inputting orders, coordinating promotions or traffic is a money loser. Collections, handling billing, and such are a pain in the ass. Do you want to start being responsible for all those things on your own? Do you want to pay somebody else to do it? You better run the numbers.
WHAT DO YOU KNOW?
For the most part, all you know is radio. The research you’re exposed to is slanted towards making radio the only or best answer for clients’ advertising needs. You know how to work with other media and sell against other media, but do you know how to make it work for a client? Are you a digital advertising consultant? You will have to outsource to experts. Money and control go with it to some degree.
HOW MUCH MONEY DO YOU HAVE?
Once you leave the radio station, you will have to pay for Nielsen data, office space, coffee, paper, pens, IT assistance, billing software, envelopes, and on and on.
DON’T FORGET ABOUT THE BENEFITS!
You know things like medical insurance, 401k, medical savings accounts, and child care savings accounts are out the window, and you are on your own. This is enough of a determent for many of us, especially if we don’t have a spouse who has access to benefits.
DO YOU LIKE PAPERWORK?
You better! If you go out on your own, you will be reviewing all the invoices for the other media companies. I would rather watch the paint dry.
HOW TAX LITERATE ARE YOU?
If you are not a disciplined person with your finances, this could be a real problem. No withholding means no money to pay your taxes.
ARE YOU A GOOD LISTENER?
You better be because you will be the person everybody in the market comes to pitch their proposal. And the moment you are rude or turn down the wrong person, your client will ask you about it. Oh, you didn’t know that was your client’s cousin or best friend from high school?
WHAT ABOUT THE PERKS?
Station events, restaurant trades, free tickets, and promotional items are all out the window.
DO YOU LIKE TO READ?
The good news is you won’t have corporate breathing down your neck to learn the latest research or media development. The bad news is you won’t even know it is going on if you don’t stay plugged in.
I could go on and on. We all enjoy tremendous support at our radio stations compared to being on our own. I realize that the oversight and direction that comes with working for someone else isn’t for everyone. It definitely is what worked best.
Jeff Caves is a sales columnist for BSM working in radio and digital sales for Cumulus Media in Dallas, Texas and Boise, Idaho. He is credited with helping launch, build, and develop Sports Radio The Ticket in Boise, into the market’s top sports radio station. During his 26 year stay at KTIK, Caves hosted drive time, programmed the station, and excelled as a top seller. You can reach him by email at jeffcaves54@gmail.com or find him on LinkedIn.
