39 / 168
2014 Best
Practices Study
Agencies
with Revenues
Between
$1,250,000 and
$2,500,000
39
Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000
Key Benchmarks
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Average
+25% Profit
+25% Growth
Administrative Expenses
Amortization of Intangibles
0.8%
0.1%
2.7%
Officer Life
0.2%
0.1%
0.0%
Interest
0.4%
0.2%
0.5%
Other
0.0%
0.1%
0.0%
Total Administrative
1.4%
0.5%
3.2%
Total Expenses
77.0%
63.0%
72.5%
Pre-Tax Profit (Loss)
23.0%
37.0%
27.5%
EBITDA
25.1%
37.7%
32.1%
Average
+25% Profit
+25% Growth
Expense Growth Over Prior Year
Compensation Expense
8.4%
4.7%
10.0%
Selling Expense
9.3%
13.9%
8.8%
Operating Expense
10.3%
30.0%
30.0%
Administrative Expense
-12.2%
*
-7.8%
Expenses
(as % of Net Revenues) —
continued
Expenses
(as % of Net Revenues)
*Insufficient Data
Compensation
Selling
Operating
Administrative
0%
10%
20%
30%
40%
50%
60%
Average
+25% Profit
+25% Growth
4.2% 4.7% 3.7%
16.1% 16.1% 17.8%
1.4% 0.5%
3.2%
55.3%
47.8%
41.7%