Lead Cost Economics
Your Ad Spend (OUT)
$73,600
$18,400/wk
Agent Payments (IN)
$48,000
$12,000/wk
Net Ad Cost Gap
$25,600
$6,400/wk out of pocket
External Lead Resale
11 external agents × 30 leads/wk × $5 profit = $1,650/wk
True Net Advertising Cost
Ad Cost Gap − Lead Resale Profit
$25,600 − $6,600
Insurance Revenue Scenarios
800 calls/wkRetention-Adjusted Revenue
Persistency (75%) × Activation (75%) = 56% effective
Conservative
$608.0K
$342.0K/mo
Optimistic
$1.22M
$684.0K/mo
ROAS & Net Profit
Total Monthly Cost = Ad Spend ($73,600) + OpEx ($5,000) = $78,600
Total Monthly Income = Agent Payments ($48,000) + Lead Resale ($6,600) + Insurance Revenue
Conservative
Income: $396.6K
Cost: $78.6K
Target
Income: $567.6K
Cost: $78.6K
Optimistic
Income: $738.6K
Cost: $78.6K
45-Day Sprint Projection
~6.4 weeks at target close rate