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Analysis of Agencies with Revenues
Between $500,000 and $1,250,000
REVENUE ANALYSIS
A. % of Revenue by Source
+25% Profit
Commercial P&C
44.5%
38.6%
51.6%
Personal P&C
37.6%
35.9%
34.6%
P&C Service Fees
0.6%
0.5%
1.4%
Contingent
8.2%
11.5%
6.9%
Group L&H
4.0%
3.8%
3.2%
Individual L&H
3.6%
6.4%
2.0%
Investments
1.0%
2.7%
0.2%
Miscellaneous
0.6%
0.5%
0.1%
Total Revenues
100.0%
100.0%
100.0%
Brokerage Commission Expense
1.4%
0.0%
0.0%
Net Revenues
98.6%
100.0%
100.0%
B. % of Revenues Derived from Largest Accounts
Average +25% Profit
+25% Growth
Largest Commission Account
4.0%
2.8%
4.5%
High
15.6%
Low
1.3%
10 Largest Commission Accounts
13.5%
11.4%
15.6%
High
36.7%
Low
2.2%
C. Revenues Derived from Acquisitions Made in Last 12 Months
% of Agencies Acquiring
Avg. Commissions Acquired
0.0%
$0
0.0%
What the Typical Transaction Looked Like:
NO DATA AVAILABLE
% of Net Revenues
Average
+25% Growth
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
% Total Revenue
Commercial
P&C
Personal P&C P&C Service
Fees
Contingent Group L&H Individual
L&H
Investments
+25% Profit
Page 26
2003 Best Practices Study