Anyone successfully generating and selling leads?

Hi guys,

My main source of income is offering SEO to local businesses, and currently doing really well, but want to start diversifying my income over the next 6-12 months.

So... I'm heading towards a 'lead generation' business model - ie generating leads and selling them to brick and mortar companies.

I've identified 6 niches where there is a sufficient amount of search traffic, has a high value service, and I'm now currently getting a website designed for each.

I'm then going to hit the ground running with some preliminary PPC traffic, and build on organic rankings, social media, etc...

My question is... Are there any experienced Warriors currently doing this and successfully selling the leads generated?

If so... How did you get paying clients?

This is what I'm envisioning at the moment:

1. When leads are generated, contact 5-10 ideal companies by email first, then follow up with a call the following day if they don't reply.

2. Offer them 5-10 leads for free (or potentially more) in order for them to see business generated as a result of the leads (I've found with my SEO business, 1 in 6 proposals turn into a paying client, so I'm also assuming it will take a few leads to create a paying client for them also.)

3. After the initial X number of free leads and they've gained business, get them signed up to a 6 or 12 month contract, agree price per lead, and happy days...

For those who have already been through what I'm about to go through... Does this look like a realistic scenario?

I think selling the leads once they are generated is the only piece of the puzzle where I'm not 100% on, so any advice or guidance would be greatly appreciated.

Thanks in advance guys