Frequently Asked Questions
Model & Structure
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GammaPRO provides conventional commercial insurance brokerage services with one fundamental distinction: clients are equity partners who share in the brokerage's annual net profits.
Same Process. Better Outcome.
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Participating clients receive an equity interest in GammaPRO without making a capital investment. Collectively, clients own 50% of the brokerage and participate in 50% of its annual net profits.
Ownership is non-voting. GammaPRO manages the brokerage.
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GammaPRO's net profits are determined by subtracting operating expenses from brokerage revenue.
Fifty percent of annual net profits is allocated to participating clients. Each client's share is based on its contribution to total brokerage revenue.
Distributions are calculated annually and made in the first quarter following the close of the year, subject to available profits and the governing agreements.
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Profits are recognized in the usual fashion: gross revenue minus expenses. Each client’s distribution is prorated based on the revenue their account contributes relative to GammaPRO’s total gross revenue. The exact amount will vary, but the principle remains the same.
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Not necessarily. GammaPRO can work with existing carriers, policies, coverage structures, and renewal schedules.
The insurance process remains business as usual.
Business Impact & Practical Considerations
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If a client decides to leave, GammaPRO will work with the client to arrange the sale of its account to another broker. If a sale is completed, the proceeds are shared equally between GammaPRO and the departing client.
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If a client decides to leave, GammaPRO will work with the client to arrange the sale of its account to another broker. If a sale is completed, the proceeds are shared equally between GammaPRO and the departing client.tem description
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Profit distributions are determined annually based on GammaPRO's financial performance.
When distributable profits are available, distributions are made in the first quarter following the close of the year.