Selling Independent Insurance Agencies
"Free Agency Valuation"
The current market for selling an insurance agency is the best it’s been in years. The U.S. economy appears to have finally put the recession behind it. Interest rates remain at historic lows. Businesses who want higher investment returns are looking for agencies to buy. Therefore, if you’re an agency owner interested in selling, this…
Buyers and sellers of insurance agencies see value differently. Sellers have usually spent a long period of time building the business and have an emotional attachment. Buyers of insurance agencies have no emotional attachment whatsoever and typically look strictly at the numbers. Understanding the dynamics of buyers and sellers goes a long way towards getting…
According to Wikipedia, EBITDA is a company’s earnings before interest, taxes, depreciation and amortization. This information is used to determine the profitability a company’s operations. So how can this indicator make or break the sale of an insurance agency? If your agency is profitable, diversified, managed at an optimal level, you shouldn’t have anything to…