What Impact Does Agency Ownership Age Have on Agency Performance and Valuation?
If age is just a number, then why does that number appear to have such a significant impact on agency performance and valuation. At IA Valuations, we study aggregate data on hundreds of agencies and we have found that the ownerships age has a direct correlation on growth and overall valuation.
The Misperception About Agency Values and Private Equity Buyers
The Private Equity (PE) infusion into the IA system is a fairly recent phenomenon that has created a fundamental realignment of the IA business model. It has also created an unprecedented amount of myths and misperceptions about agency values and selling options.
Using an Agency Valuation as a Roadmap for Growth
Why Agency Owners should Utilize an Agency Valuation as a Business Planning Tool In today’s business climate, agency owners can no longer afford to use revenue multiples to understand agency value. The exact calculation of agency value requires a much deeper dive into the numbers, employees, and operation to get an accurate assessment of an […]
Traditional Independent Agencies are Losing the M&A Game
We are experiencing the greatest wealth transfer in the history of the independent agency (IA) system and traditional retail independent insurance agencies (privately held) are getting crushed in the merger and acquisition (M&A) game. According to Optis Partners, the IA system experienced a record 1,061 M&A transactions of independent agencies and brokers in 2021. There […]