The case for getting it right
The hire that didn't deliver.
Every bank has the story. The producer hire with the marquee book — that didn't follow. The lender whose production never ramped. The wealth advisor whose cross-sell never came. Here's the math.
What you pay
Sunk before production catches up.
$200K
Comp + 12-month guarantee
Paid in full — whether or not the book follows.
$200K+ committed before a single loan books.
What you don't get
A wrong hire vs. a top producer.
Top producer
Poor producer
Annual loss
Loan production
C&I, term, owner-occupied CRE
$15M
$5M
$10M
Deposit growth
Checking, MMDA, escrow
$8M
$3M
$5M
Cross-sell, fee income
Treasury, FX, swap fees, wealth referrals
$200K
$50K
$150K
How it adds up
$10M in lost loan production × ~10% (interest income, fees, life-of-loan)
→
~$1.0M
$5M in lost deposit growth × ~3% spread
→
~$150K
$150K in cross-sell, fee income (direct fee revenue)
→
$150K
Lost revenue from production gap
=
~$1.3M
+ $200K comp paid out before a single loan books
→
$200K
~$1.5M
Total annual cost of a wrong producer hire — every year the wrong hire stays in seat.