What are your thoughts on this?
Unless you have clients who don't care or don't need handholding (which is very rare) running an agency can eat up your life. The problem is that then when you do to do a product you're constantly in stop-and-restart mode.
You might want to think of having another option: Like working for a client project, banking as much money as you, and then live off of that while you do your product.
I have some ideas written down that could be executed simultaneously (with the right staff) so an agency type of business crossed my mind.
Especially one product is designed (sorry for being so vague) in a way that could attract a few companies to do a buy-out. How is it with that if a product was done by an agency rather than a startup (in traditional sense)?
It would hard to have an agency build a product that you would flip like a real estate deal. The problem is that an investor isn't buying the product, they buying or investing in the team that made the product.
I agree with michaelpinto though, clients do sometimes really get in the way as there can be lots of meetings, phone calls, e-mails and Skype conversations before work even commences.