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Analysis of Agencies with Revenues
Between $5,000,000 and $10,000,000
EXPENSE ANALYSIS
(as % of Net Revenues)
Average
+25% Profit
+25% Growth
Compensation Expense
Total Payroll
58.6%
51.5%
60.5%
Benefits
8.0%
6.9%
6.8%
Total Compensation
66.6%
58.4%
67.3%
Selling Expenses
T & E/Conventions
1.4%
1.6%
1.4%
Automobile
0.9%
1.2%
0.8%
Advertising/Promotions
1.1%
0.9%
1.2%
Total Selling
3.4%
3.7%
3.5%
Operating Expenses
Occupancy
4.3%
4.2%
4.7%
Telephone
1.3%
1.2%
1.6%
Postage
0.8%
0.7%
0.9%
Supplies/Printing
1.3%
1.0%
1.5%
Dues/Subscriptions/Contributions
0.7%
0.7%
0.8%
Taxes/Licenses
0.6%
0.4%
0.9%
Insurance
1.1%
1.3%
0.9%
Professional Fees
1.2%
1.4%
1.1%
Equip Rental/Maint
0.6%
0.8%
0.8%
Bad Debts
0.1%
0.1%
0.2%
Outside Services
0.6%
0.4%
0.7%
Data Processing
1.0%
1.0%
1.4%
Education/Training
0.4%
0.3%
0.4%
Miscellaneous
1.0%
0.6%
1.8%
Total Operating
15.2%
14.0%
17.7%
Administrative Expenses
Amortization
1.0%
1.1%
1.1%
Depreciation
2.1%
1.6%
1.6%
Officer Life
0.3%
0.3%
0.3%
Interest
1.1%
0.8%
1.1%
Other
0.4%
0.0%
0.1%
Total Administrative
4.9%
3.7%
4.1%
Total Expenses
90.1%
79.8%
92.6%
Pre-Tax Profit
9.9%
20.2%
7.4%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
% Net Revenue
Compensation
Selling
Operating
Adminstrative
Average +25% Profit
+25% Growth
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