There's a video somewhere where Forager actually talks about...

There's a video somewhere where Forager actually talks about this, from memory Steve says the franchise in Freedom is the network the management has built over the last 8 years, there's some truth to this, in the insurance industry relationships with key people are very important. Large insurance companies don't just choose anyone to share their revenue with.

One flip-side of the RC is they've drastically raised the barrier to entry in the direct insurance market, basically ASIC recommended all small outbound companies to cease operating or those preparing to enter this industry to think again. Many insurance companies have ceased direct selling, switching to third parties, like FIG's major competitor Clearview. The biggest player is TAL insurance and they're getting a lot of heat, if they stop direct selling, that means FIG will catapult to market leader in the direct selling space, ironically thanks to the RC.

Regarding the management not liquidating and run it to the ground, the Chairman is CEO of TOWER Insurance, MD is former head of Westpac life insurance, most of their management is a close knit team composed of founding members of Australia Life Insurance Group, which apparently was a success story. These guys have much bigger fish to fry than sticking with a sinking small cap.