Welcome to your June 2016 edition of the STG Insurance Agent Sales Alerts publication. Opportunities that we have uncovered this month through our extensive research and network of industry insiders include insurance agencies for sale on the East Coast, as well as several firms in the Southwest. National M&A activity so far this year is trending higher at mid-year, compared to the record-setting pace experienced in 2015–which itself was an epic year, with a 30% increase over the previous record year that took place in 2012.
The record breaking activity is being driven by three factors:
- Increased demand from the participation of even more private equity groups.
- Favorable demographics within the current agency owner population
- Low interest rates
It is no surprise that the seller’s market for independent agencies continues to be prevalent because of the PEG involvement, with an ongoing neutral market in the captive arena.
Our biggest source for potential opportunities for you come through our ever growing group of over 5,000 sell side intermediaries, our in-house research group, broken financing deals, significant telemarketing activities and direct contact by sellers. This pipe line is supplemented by our network of consultants, attorneys, CPAs, loan underwriters, DOIs, PEGs and Strategic Partners.
The listings below are a small sample of the new independent agencies for sale discovered through our sources during the last 30 days. Upon request, we will provide our Registered Buyer clients access to previous month’s and off-cycle listings.
SHOP A: San Antonio, Texas – A multiple location, non-standard independent P&C insurance and tax agency for sale. This is primarily an auto insurance shop. Markets include: ACCC Gen Agency, Aggressive, Hallmark, Texas All Risk. Includes 5 web domains, two Kia Souls and a clean E&O. Don’t miss this opportunity to own an established agency in the heart of San Antonio! Asking Price $1.7MM / Reported Revenue over $1.1MM.
SHOP C: Lufkin, Texas – An established independent mixed standard and non-standard P&C general lines agency is now for sale. This shop holds appointments in Louisiana and Texas. Seller will consider some paper. Asking Price $699K / Reported Revenue $265K.
SHOP E: Clovis, New Mexico – This shop is a well-established independent insurance agency. The product portfolio is 90% Standard General Lines with 100% growth in 5 years. From this location the owner can market all of the Texas panhandle as well as New Mexico. Great office location with strong walk-in traffic. Major insurance markets include Hartford, Travelers and Safeco. Asking Price only. Asking Price $150K / Reported Revenue $70K.
Being associated with Springtree Group provides you access to the strongest array of insurance related 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.