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2009 Best Practices Study | Agencies with Revenues Between $2,500,000 and $5,000,000 | Revenues/Expenses
Agencies with Revenues Between $2,500,000 and $5,000,000
Appendix
Insurance
Carriers
Technology
Service
Staff Info
Producer
Info
Employee
Overview
Financial
Stability
Revenues/
Expenses
Profile
Revenues
% of Revenues Derived from:
Average
+25% Profit
+25% Growth
Largest Account
3.5%
4.2%
3.2%
High
9.0%
Low
1.1%
10 Largest Accounts
14.8%
15.2%
14.7%
High
47.2%
Low
1.9%
What the Typical Transactions Looked Like
Revenues Acquired per Transaction
Multiples of Revenue Paid
Average
$180,581
Average
1.07x
Median
$198,600
Median
1.30x
High
$325,000
High
1.50x
Low
$18,142
Low
0.40x
Acquired Revenues
% of Agencies
Acquiring
Average
Commissions
Acquired
Percentage of
Net Revenues
Acquisitions Made in Last 12 Months
9.1%
$201,379
4.7%