Welcome to this month’s edition of the Springtree Group Independent Agent and Broker Sales Alerts, with the latest updates on independent insurance agencies for sale nationwide. New activity for this time of year is average with normal deal size trending down. Most large deals that are to be completed in the current year are committed and pushing for close.

Direct access to sellers can be difficult because sellers open exposure of their desire to sell can be a concern due to the impact this information could have on insurance carriers (markets), employees, clients and the competition. As reported by our strategic partner, Marsh Berry, only 10 percent of all deals in the $1MM range are publicly known.

In our view, the most effective tactic in acquisition target development is a multi-level and joint endeavor, using the national approach that STG provides in concert with the “boots on the ground” local market intelligence to which only the client has access. STG provides clients additional tools to access the 90 percent of the market that is hidden.

The listings below are a sample of some of the new independents discovered through our research or provided to us during the last 30 days. Our clients have access to previous month’s listings upon request.

SHOP A: Mid Atlantic — An eleven year old established company that provides risk management and claims adjusting services for third party self-insured clients. This company handles all claims administration for clients with self-insured programs such as Livery Vehicles, Fleet Vehicles, Workman’s Comp and other business entities. Asking Price $750K / Reported Revenue $552K.

SHOP D: Manatee County, Florida — A general independent Property and Casualty insurance agency. Forty seven markets utilized, underwriting all classes of business. Significant renewal customer base. 20% annual growth rate. A stand-alone building is available for purchase for an additional $390K if desired. Asking Price (business only) $480K / Reported Revenue $208K / $1MM WAP.

SHOP F: Temecula, California — An independent Property & Casualty agency in the southern central valley (Riverside County), focused on Insurance services to commercial contractors. Reported Revenues $104K / Asking Price $195K.

SHOP N: Coles County, Illinois — A six year old commercial lines Property and Casualty preferred independent agency now for sale. Asking Price $135K / Reported Revenue $70K. Agency is split 50% personal and 50% commercial with a small health book. Primary markets include: Travelers, The Hartford, Madison Mutual, 1st Auto and others.

Being associated with STG provides you access to the strongest array of M&A, lending tools and financial services available to support your acquisition, perpetuation and operational needs in any part of North America. For additional information on services and opportunities, please call our offices at (972) 395-8811.