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2008 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
4.3%
3.9%
5.7%
High
14.0%
Low
1.0%
10 Largest Accounts
17.2%
17.1%
13.2%
High
44.0%
Low
3.6%
What the Typical Transactions Looked Like
Revenues Acquired per Transaction
Multiples of Revenue Paid
Average
$254,015
Average
1.7
Median
$260,000
Median
1.65
High
$450,717
High
2.25
Low
$45,345
Low
1.3
Acquired Revenues
% of Agencies
Acquiring
Average
Commissions
Acquired
Percentage of
Net Revenues
Acquisitions Made in Last 12 Months
12.1%
$150,230
4.3%