Blog2020-09-17T14:36:55-04:00

The Insurance Agency Mergers and Acquisitions Insider

This blog was designed for topical discussions relating to insurance agency mergers and acquisitions, and some best practices for managing an insurance brokerage business.  We are a merger & acquisition advisory firm exclusively serving independent insurance agencies and brokerages.  We are actively involved in valuations and M&A transactions across the United States for agencies with a few hundred thousand to over $10M in revenue, and we have chosen to openly share insider information for the benefit of the brokerage community.

All About Agency Due Diligence

August 11th, 2018|

Agency due diligence means that you've taken the necessary steps to understand what you're acquiring in an agency acquisition. Any time you purchase an existing business, you're not only acquiring  the good: Goodwill Lines of Business Revenues Talent Technology You're also acquiring liabilities and obligations like: Debts/Overhead Retirement packages Outdated [...]

When Not to Buy an Insurance Agency

July 26th, 2018|

So, you're thinking about the possibilities of owning an insurance agency. Before you make the final decision gather as much information on the prospective purchase and leave nothing to chance. Take advantage of due diligence and hire a professional - it’s a lawful discovery process for collecting information about a [...]

How to Gauge the Health of an Agency Before Buying

July 11th, 2018|

Internal and external economic factors contribute to the health of most organizations. Other elements playing a major role in the insurance market include commerce risks. When you consider all of the possible components affecting the well-being of an insurance agency – it still comes down to profit. Look at the [...]

What Exactly is a Merger?

June 15th, 2018|

Mergers are business tools used for joining resources to develop a larger share of the market by offering consolidated services or expansions into new territories. Given that the insurance industry has several types of products, it’s normal for an independent agent to join forces with another agent or agency. At [...]

3 Things to Know When Buying an Insurance Agency

June 1st, 2018|

Whether you’re just starting out or looking to expand an existing insurance agency – you need to talk with an industry professional. Aside from having the desire, drive and passion, you need to understand the risks, financial obligations and the time commitment involved with this investment. There are several benefits [...]

4 Tips for Managing Debt

May 15th, 2018|

Managing debt for any business is an essential part of growing it. Creating a thriving business with sufficient cash flow that becomes an asset is critical to controlling the company’s debt. The biggest challenge for most owners is managing the debt so that it works for the business rather than [...]

What Does Your Buying Process Look Like?

May 1st, 2018|

Annual revenues generated in the insurance industry are over 100 billion dollars annually. The expected growth from now to 2023 is approximately three percent each year. The key indicators confirm a healthy economy, making it a good time to expand your business through an acquisition. The possibilities are readily available [...]

The Most Critical Stage of Buying an Insurance Agency

April 30th, 2018|

What is the most critical stage of when buying an insurance agency? Is it obtaining financing? Is it finding the right agency to buy? Is it making sure your own books are in order? While there are indeed many important stages in the agency buying process, by far the most [...]

If you can’t Grow, it might be time to Go!

April 20th, 2018|

When agency revenues start to fall year-over-year, there is usually a reason.  Sometimes the trend can be reversed, such as if it is tied to an economic cycle, but quite often the downward trend is unstoppable.  In our experience, a steady decline in the business is typically an indicator that one or more of the agency principals are spending less time running the business.  The enthusiasm and competitiveness that perhaps once drove growth in the business has waned. 

3 Things to Know When Selling an Insurance Agency

April 13th, 2018|

If you're considering selling your insurance agency, there could be a number of reasons that prompted you to pursue this route—perhaps you're ready to retire, or maybe you've simply decided to look into other endeavors that will benefit your professional being. In any event, there's a lot to think about [...]

Why Use a Consultant to Manage Your Debt While Selling?

March 15th, 2018|

Having any kind of debt while you're in business can be a little nerve-wracking, even if the business is swinging from strength to strength. But it can be downright terrifying to manage if you're in the middle of selling your agency. Part of handling this process should include asking for [...]

Simultaneously Managing the Business and Sale Process

March 1st, 2018|

Once you know you know you're ready to sell the agency, you're likely to have a lot of questions about what to do next. Keeping customer and employee morale up during this time period isn't going to be easy to do, which can make managing the office a nightmare. There [...]

Top Things to Consider When Buying an Insurance Agency

February 15th, 2018|

The goal of any organization is to grow. When you've done everything you can do to grow your business internally, sometimes, it's time to look for opportunities outside of your own organization. In the insurance industry, acquisitions can be quite lucrative but only if you do your due diligence and [...]

Top Tips on Selling Your Insurance Agency

February 1st, 2018|

If you've already decided to sell your insurance agency, you should have at least a few questions on your mind. Maybe you saw some of the pitfalls when you were buying the agency and want to avoid them, or maybe you're just not sure of where to even start. The [...]

The Importance of Trust Accounts When Buying or Selling an Agency

January 15th, 2018|

Insurance agencies are often required to have active trust accounts as a means of separating and organizing any incoming funds. They're used to prove to auditors that an agency has been paying agents and carriers appropriately out of the premium payments collected from their customers. But it's not uncommon for [...]

2018 Insurance Brokerage M&A Outlook

January 5th, 2018|

As noted by many in the agent/broker M&A world, 2017 was the most acquisitive year on record.  Reported transactions were up 20% for the first three quarters of the year over the same period of the prior two years, both of which were considered record-breaking, with a total of 563 [...]

Blog Categories

Selling an Insurance Agency
Valuing an Insurance Agency
Buying an Insurance Agency
Best Practices

COMPLETED TRANSACTIONS

  • Smart Choice Partners
    has acquired
    Atlantic Insurance Advisors
    Agency Brokerage Consultants served as advisor to Atlantic Insurance Advisors
  • Arthur J. Gallagher
    has acquired
    Fraser Yacht Insurance Services
    Agency Brokerage Consultants served as advisor to Fraser Yacht Insurance Services
  • All Risk, LTD
    has acquired
    Specialty Risk Underwriters
    Agency Brokerage Consultants served as advisor to Specialty Risk Underwriters
  • Hub International
    has acquired
    Farr Insurance Group
    Agency Brokerage Consultants served as advisor to Farr Insurance Group
  • AssuredPartners Aerospace
    has acquired
    Hardy Aviation Insurance
    Agency Brokerage Consultants served as advisor to Hardy Aviation Insurance
  • Sihle Insurance Group
    has acquired
    Webster Insurance Agency
    Agency Brokerage Consultants served as advisor to Webster Insurance Agency
  • Risk Cooperative
    has acquired
    Benefits Resources
    Agency Brokerage Consultants served as advisor to Benefits Resources
  • PCF Insurance Services of the West
    has acquired
    Leonard H. Franks, CPCU & Associates
    Agency Brokerage Consultants served as advisor to Leonard H. Franks, CPCU & Associates
  • Foundation Risk Partners
    has acquired
    Allen & Smith Insurance, Inc. DBA St. Johns Insurance Agency
    Agency Brokerage Consultants served as advisor to Allen & Smith Insurance, Inc. DBA St. Johns Insurance Agency
  • Higginbotham
    has acquired
    Extraco Banks - Commercial Insurance Division
    Agency Brokerage Consultants served as advisor to Extraco Banks - Commercial Insurance Division