Welcome to the final edition of your STG Independent Insurance Agency Sales Alerts for 2016! The current year has solidified itself as another record year for insurance agency M&A activity. We, of course, are particularly proud of the many STG Registered Buyers that added to this tremendous year.
In our view, agency ownership transitions will continued to accelerate. The current network of agency owners is dominated by owners in their 60s and 70s. If you happen to be in mid-career, you may be ideally positioned to benefit from the transition of agencies over the next few years. The lack of succession planning within the current ownership ranks is significant and will benefit those that are ready, practiced and financially prepared.
Turning our focus to 2017, Springtree Grup clients continue to be enthused about buying opportunities because of several critical motivations, including:
- Gaining critical mass
- Entering new market areas
- Accelerating growth and back fill organic growth gaps
- Better utilization of operating efficiencies / specialty resources
The listings below are a sample of some of the agencies discovered through our research or provided to us during the last 30 days. Upon request, we provide our Registered Buyers access to previous month’s and off cycle listings.
SHOP B: North LA Metro, California– A 30-year-old California based commercial agency. The agency has a specialty niche in insuring pawn shops. 95% commercial. All the business is done over the phone. The employee must be a part of the sale and the seller will stay on for 6 months to help with the transition. Asking Price $345K / Reported Revenue $160K.
SHOP C: Knoxville, Tennessee – Independent Employee Benefit agency offering a complete line of Life and Health products and services. Building upon 34 years of experience in the insurance business, the company history of building tailored programs. Major carrier appointments include BCBS, United Healthcare and Humana. Asking Price $320K / Estimated Annual Revenue $180K.
SHOP H: Santa Fe Metro, New Mexico – A very well established independent commercial Insurance Agency is now for sale. This Property and Causality agency is focused on personal lines, predominately auto and home with some commercial. The product mix is 60% preferred and 40% non-standard with quality direct appointments. Asking Price $200K / Reported Revenue $134K.
Being associated with STG provides you access to the strongest array of insurance M&A services, agency lending tools and financial services available to support your acquisition, perpetuation and operational needs in any part of North America. Please call us at (972) 395-8811 or contact us online for additional information on services and opportunities.