If you are thinking about selling your agency, let General Insurance Brokerage maximize the value of your agency and unlock the best possible price. Traditionally, insurance agencies have been sold using a multiple of trailing 12 months’ commission. At General Insurance Brokerage we take a true M&A approach to selling your agency. By using a multiple of free cash flow we are able to provide greater value, attracting sophisticated buyers and creating significantly increased sales prices for our clients. An example, in South Florida we highlighted the operational efficiencies and the resulting free cash flow of an agency which generated 12 months’ commissions of $2,000,000. Our thorough diligence and intelligent approach resulted in a purchase price of $6,000,000 or 3.00 times commissions. General Insurance Brokerage was able to generate greater value for this agency for our client who had originally planned to market his agency for 2.5 times commission, $5,000,000. This is just one of our many clients who we assisted, give us a call and be our next success.
Category: Agency Valuations