Blog » Recent blog posts about 'agency'
The Insurance Journal had a great article about E&O when buying and selling insurance agencies. The article points out that while the industry seemed to see a spike in mergers and acquisitions activity in 2012 due to some tax implications, many are projecting that 2013 will see some healthy buying and selling, too. While there are many issues to address involving staffing, systems, etc., something that does not seem to get the attention it deserves involves the applicable errors and omissions (E&O) issues. You can read the full article here. Continue reading "Remember E&O when Buying or Selling an Insurance Agency"
According to a recent study conducted by BizBuySell.com, the Internet’s largest online marketplace for buying and selling businesses, brokers said they are currently seeing an increase in the number of deals being completed, compared to the same time in 2012. Now that the presidential election and worries about the “fiscal cliff” are behind us, buyers and sellers are spending less time waiting for Washington and more time being proactive in the marketplace. Read the full article here.
Many calls we take from prospective buyers for Personal or Commercial Lines Insurance Agencies specifically request preferred carriers such as Mercury, Travelers, Safeco, Hartford and Allied. Several other carriers are also requested depending on where you are in the country, but there are too many to list here. Continue reading "If you’re selling a preferred personal or commercial insurance agency it’s in very high demand"
We continue to see an overwhelming number of insurance agency buyers over sellers by a margin of 35 to 1. When selling an independent insurance agency, finding a buyer with similarities to your agency is key. Below are a few other tips for buyers and sellers. Continue reading "When Selling an Independent Insurance Agency finding a buyer with similarities is key"
We receive several calls weekly from agencies asking about loans for insurance agency acquisitions, debt consolidation or to hire producers and grow their book of business. We usually refer agency owners to their local bank first to see if there’s a way that SBA would loan them money. Often times SBA doesn’t understand the insurance business since there is minimal equipment, no inventory and runs unlike most businesses in the world. We recently found a great source for lending that has a conventional loan based on the gross revenue of your agency. The terms are outstanding with 10 year pay-outs and the interest rates are very reasonable. The minimum loan amount is Continue reading "Insurance Agency Lending May Have Just gotten easier for Independent Agents"
This week we’ll be speaking at the BIG (Brokers Insurance Group) Meeting in Pomona Ca. The subject of the talk is 10 Reasons you’re Insurance Agency could be losing value and what to do about it. You can read more about the event here. The presentation discusses how to add value to your insurance Continue reading "10 Reasons your Insurance Agency could be losing value and what to do about it"
Over the past month we’ve worked with dozens of agencies in California and a few other states to make 2013 their best year ever. Insurance Agency Owners are unsure of what to expect in 2013 and quite frankly, neither do we. What we all need to know is that we should focus on what we can control which is Producers, CSR’s and the Agency Principals daily activity. Continue reading "What are Insurance Agency Owners Focused on in 2013?"
Selling an insurance agency is as complicated as you make it. Over the years we’ve seen bankers, business brokers and agency owners dictate how insurance agencies are bought and sold. What we’ve learned is that most sales for a book of business from 0-$2,000,000 in revenue are completed when 2 business owners sit down and work out terms that are a win-win for all. Whether it’s price, terms, employees, producers, carrier contracts or buy-sell agreements it takes 2 parties Continue reading "Want to sell Your Insurance Agency but dont know where to start?"
Our friends at Insurance Journal released an article on December 7th about Brooke. If you’re considering buying or selling an insurance agency, it’s a great idea to have expert representation. I worked with a large law firm in Los Angeles around 2006 on a Brooke transaction and the Attorney’s convinced our client to walk from the deal. It was a 5 year pay-out, which means that client wouldn’t have been paid everything it was owed. You can read the full article here.
Insurance Agencies are unlike any other business mainly due to the fact that there’s a measurable revenue stream that buyers can depend on for years to come. There’s still an abundance of buyers in the market, so selling your insurance agency today, makes sense if you’re considering selling in the next 5 years. Continue reading "Tips on Selling your Insurance Agency in California"