112 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$5,000,000 and
$10,000,000
112
Analysis of Agencies with Revenues Between $5,000,000 and $10,000,000
Key Benchmarks
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Compensation
Selling
Operating
Administrative
0%
10%
20%
30%
40%
50%
60%
70%
Average
+25% Profit
+25% Growth
3.3% 2.9% 3.5%
14.2% 13.0% 13.3%
61.8%
53.6%
64.3%
3.2%
2.1% 2.8%
Average
+25% Profit
+25% Growth
Administrative Expenses
Amortization of Intangibles
1.8%
0.6%
2.1%
Officer Life
0.3%
0.3%
0.2%
Interest
0.9%
1.2%
0.5%
Other
0.2%
0.1%
0.0%
Total Administrative
3.2%
2.1%
2.8%
Total Expenses
82.5%
71.6%
83.9%
Pre-Tax Profit (Loss)
17.5%
28.4%
16.1%
EBITDA
21.0%
30.6%
19.3%
Average
+25% Profit
+25% Growth
Expense Growth Over Prior Year
Compensation Expense
6.6%
1.3%
16.0%
Selling Expense
4.6%
18.9%
8.9%
Operating Expense
7.1%
10.5%
9.0%
Administrative Expense
1.5%
7.6%
-7.8%
Expenses
(as % of Net Revenues) —
continued
Expenses
(as % of Net Revenues)