Agent Company - Unassigned

When an agent creates an account, they have the ability to add their company name, however, if this company hasn’t been created by Admin, it will show the agent as Unassigned when they are in the portal. I can’t understand how this flow was designed. It seems as if I need to create a company prior to an agent creating an account so they can select that company when they create an account. If I am correct, that flow is extremely flawed. In my opinion, the agent should be able to manually add their company when creating an account, and if they do, that will show (instead of unassigned) as the agent’s company. I would love to hear back from someone about the design of this flow, and if I am missing something or if it is a flawed design. Thanks.